{"id":3330,"date":"2009-08-13T11:17:55","date_gmt":"2009-08-13T16:17:55","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3330"},"modified":"2009-08-13T11:17:55","modified_gmt":"2009-08-13T16:17:55","slug":"eurusd-pulls-back-following-encouraging-rebound","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/08\/13\/eurusd-pulls-back-following-encouraging-rebound\/","title":{"rendered":"EUR\/USD Pulls Back Following Encouraging Rebound"},"content":{"rendered":"

By Fast Brokers <\/strong>– The EUR\/USD is being denied by our 2nd tier downtrend line after U.S. retail sales and weekly unemployment claims all came in weaker than analysts anticipated.\u00a0 Today\u2019s U.S. data is deflating Wednesday\u2019s rally in reaction to a more upbeat speech from Bernanke following the Fed\u2019s monetary policy meeting.\u00a0 Investors were reassured by Bernanke and ignored weaker than expected industrial production data from the EU.\u00a0 The Dollar\u2019s negative correlation with U.S. equities locked back in after deviating the last few sessions.\u00a0 Investors made an assertive return to risk, yet the EUR\/USD didn\u2019t register comparable volume to the upside as it did to the downside last Friday.\u00a0 However, the Euro is exerting some relative strength today after German and French GDP surprised investors by printing positive growth.\u00a0 The EU\u2019s Flash GDP reiterated the improvement by coming in at -0.1% vs. -0.5% expected.\u00a0 Therefore, it appears the EU\u2019s manufacturing hubs, Germany and France, are recovering well despite recent depreciation of the Euro against the Dollar.\u00a0 We believe the improvement in the EU\u2019s economy may be a result of demand from emerging countries such as China, India, and Brazil.\u00a0 Additionally, economic problems in Eastern Europe don\u2019t seem to be having as negative of an impact on the EU region as one might expect.<\/p>\n

Today\u2019s GDP news from the EU should be enough to buoy the EUR\/USD until tomorrow\u2019s CPI data.\u00a0 An improvement in EU prices couple with stability in the S&P futures would help the EUR\/USD hold its ground.\u00a0 Meanwhile, investors should keep an eye on buy-side volume to see whether recent sell-side volume can be countered.\u00a0 Our 2nd tier downtrend line should continue to serve as a reliable immediate-term barrier until we receive more data on Thursday.\u00a0 While the positive correlation between the EUR\/USD and the S&P futures seems to be back in place, today\u2019s negative data from the U.S. makes us doubt a serious rally in equities today.<\/p>\n

The EUR\/USD\u2019s previous pullback this month has created a few barriers to the upside which will need some momentum to overcome.\u00a0 These obstacles include our 2nd and 3rd downtrend line along with August 7th highs.\u00a0 As for the downside, the EUR\/USD has technical cushions in our 3rd tier uptrend line and intraday lows.\u00a0 Though today\u2019s pop in the EUR\/USD is certainly encouraging, the currency still has something to prove to the topside before we are comfortable with a return to its uptrend.<\/p>\n

Present Price: 1.4270<\/p>\n

Supports: 1.4274, 1.4262, 1.4241, 1.4216, 1.4200<\/p>\n

Resistances: 1.4290, 1.4303, 1.4325, 1.4345, 1.4368<\/p>\n

Psychological: 1.40, 1.45<\/p>\n

\"\"<\/a><\/p>\n

Market Commentary<\/strong><\/em> provided by Fast Brokers<\/strong><\/span><\/a>.<\/p>\n

Disclaimer:<\/strong> FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regardedneither as an investment advice nor as a solicitation or an offer to sell\/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n

Risk Disclosure:<\/strong> There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Fast Brokers – The EUR\/USD is being denied by our 2nd tier downtrend line after U.S. retail sales and weekly unemployment claims all came in weaker than analysts anticipated.\u00a0 Today\u2019s U.S. data is deflating Wednesday\u2019s rally in reaction to a more upbeat speech from Bernanke following the Fed\u2019s monetary policy meeting.\u00a0 Investors were reassured … <\/p>\n

Continue reading “EUR\/USD Pulls Back Following Encouraging Rebound”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-3330","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3330","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=3330"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3330\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3330"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3330"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3330"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}