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17 May 2013
Forex: EUR/USD testing lows around 1.2800
FXstreet.com (Barcelona) - The increasing selling interest around the euro is challenging the key support at 1.2800 on Friday, always within the prevailing USD strength as backdrop.
According to Camilla Sutton, Strategist at Scotiabank, the bank’s outlook on the cross remains bearish. “All signals are in sell territory, the 50‐day has crossed below the 200‐day and the RSI is at just 38, leaving lots of downside before being oversold. We expect a near‐term test down through 1.28”, concluded Sutton.
EUR/USD is now losing 0.47% at 1.2822 and a breach of 1.2796 (low May 17) would aim for 1.2754 (weekly cloud base) and finally 1.2740 (2013 low Apr.14).
On the flip side, resistance barriers align at 1.2850 (prior intraday lows) followed by 1.2890 (high May 17) and then 1.2930 (high May 16).
According to Camilla Sutton, Strategist at Scotiabank, the bank’s outlook on the cross remains bearish. “All signals are in sell territory, the 50‐day has crossed below the 200‐day and the RSI is at just 38, leaving lots of downside before being oversold. We expect a near‐term test down through 1.28”, concluded Sutton.
EUR/USD is now losing 0.47% at 1.2822 and a breach of 1.2796 (low May 17) would aim for 1.2754 (weekly cloud base) and finally 1.2740 (2013 low Apr.14).
On the flip side, resistance barriers align at 1.2850 (prior intraday lows) followed by 1.2890 (high May 17) and then 1.2930 (high May 16).