EUR/USD rebounds to target new highs
James Chen April 16, 2014 7:40 PM
<p>EUR/USD (daily chart shown below) has just rebounded off its 50-day moving average as it seeks potentially higher highs within a continuing bullish trend. This […]</p>
EUR/USD (daily chart shown below) has just rebounded off its 50-day moving average as it seeks potentially higher highs within a continuing bullish trend.
This uptrend extends back more than nine months from July’s 1.2750-area double-bottom low.
The current rebound off the moving average comes after a major bounce off the key 1.3700 area that occurred early last week. In turn, that bounce occurred after the currency pair made a 2% pullback from its multi-year high of 1.3965 that was established about a month ago in mid-March.
Major downside support continues to reside around the noted 1.3700-area. In the event of further upside momentum off the current rebound, the key level to watch remains around the noted 1.3965 high.
On any breakout above that major resistance level, an uptrend continuation will have been confirmed with further upside targets around the 1.4000 and 1.4250 resistance levels.
StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.