EUR/USD continues to fall and reaches the lower parts of the pre-QE2 range. Will current support hold? Or should we expect more falls? Here’s a quick update on technicals, fundamentals and community trends.
Euro/Dollar falling to lower support
- Asian session: EUR/USD dropped under 1.39 and found support above 1.3830.
- Current Range between 1.3830 to 1.3950
- Further levels in both directions: Below, 1.3830, 1.37, and 1.3637. Above 1.3950, 1.4030, 1.4030, 1.4160, 1.4217, 1.4280, 1.4450 and 1.4580.
- 1.37 significant lower point
- 1.4030 significant higher point.
All times are GMT. Most important events emphasized.
- 7:00 German Final CPI. Exp. +0.1%. Actual +0.1%.
- 7:45 French Trade Balance. Exp. -4 billion.
- 15:00 US IBD/TIPP Economic Optimism. Exp. 47.8 points.
- 15:00 US Wholesale Inventories. Exp. +0.6%.
- QE2 has a stronger effect on commodity currencies than the majors.
- Irish debt issues are becoming a problem once again. Yesterday’s article in the Irish Times, about Ireland becoming insolvent, still echoes.
- Tensions towards the G-20 summit in the upcoming weekend are also on the agenda, but there’s a small chance of any agreement reached.
- Currensee Community: 51% are long, 49% are short. These are 1139 open positions in real accounts trading this pair at the moment. Is the community seeing the dollar escape the bearish trend with QE2?
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