EUR/USD breaks resistance – at 8 month high

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EUR/USD is now trading at 1.3660, above the previous high of 1.3646 and above resistance at 1.3650, which was a peak before also before September.

The move comes on the background of the weak resolution seen in the US: a last minute deal that sets a date for the next crisis. The initial reaction to the deal was a dip below double support. However, this dip was never confirmed and the result was a very strong bounce, as the chart shows:

EURUSD 8 month high October 17 2013 on weak US deal technical chart fundamental analysis

The next line of resistance is the 2013 peak of 1.3710. This is a critical line. If broken, 1.3840 and 1.3950 are the next lines.

Looking down, 1.3570 provides support in case this proves to be a false break.

For more lines and analysis, see the EURUSD forecast.

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Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.

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