{"id":3881,"date":"2009-09-17T13:48:18","date_gmt":"2009-09-17T18:48:18","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3881"},"modified":"2009-09-17T13:48:18","modified_gmt":"2009-09-17T18:48:18","slug":"eurusd-trades-off-weekly-highs-amid-profit-taking","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/09\/17\/eurusd-trades-off-weekly-highs-amid-profit-taking\/","title":{"rendered":"EUR\/USD Trades off Weekly Highs Amid Profit-Taking"},"content":{"rendered":"

By Fast Brokers<\/strong> – The EUR\/USD\u2019s medium-term uptrend flexed its muscles yesterday, driving past 1.47 on solid buy-side activity.\u00a0 The EUR\/USD benefitted greatly from a return to risk following better than expected U.S. Industrial Production and Capacity Utilization.\u00a0 As we explained in our previous analysis, the EUR\/USD had few technical barriers to the topside, allowing for accelerated gains in the currency pair.\u00a0 However, the bulls ran out of gas and the EUR\/USD has topped out this morning, dipping back beneath December 2008 highs.\u00a0 Weakness comes despite an absence of EU econ data and slightly stronger than expected U.S. Weekly Unemployment Claims.\u00a0 Hence, we view today\u2019s pullback as a symptom of overbought conditions.\u00a0 The EUR\/USD\u2019s uptrend is alive and well due to a combination of outperforming global econ data and the ECB\u2019s hawkish stance towards monetary policy.\u00a0 The EU will cap the busy data week early Friday morning with German PPI and EU Current Account numbers.\u00a0 Analysts are looking for Germany\u2019s PPI to turn positive for the first time since October 2008 as well as a narrowing Current Account deficit.\u00a0 Rising prices and a recovery in the Current Account would help support the ECB\u2019s decision to refrain from injecting more liquidity in the monetary system, a positive catalyst for the EUR\/USD.<\/p>\n

Meanwhile, the EUR\/USD could experience noticeable near-term resistance due to the historical consolidation between December 2008 and September 2008 highs.\u00a0 The currency pair will likely opt to build a new base unless we receive impressive economic news in the immediate-term.\u00a0 Considering Friday and Monday will be light on the data front, the next few trading sessions provide a great opportunity for investors to lock-in some profits ahead of the important EU PMI data releases next Tuesday.\u00a0 We\u2019ve readjusted our trend lines and still can\u2019t form a downtrend line of substance.\u00a0 Hence, the EUR\/USD still has quite a bit of upward mobility despite historical consolidation in this area along with the highly psychological 1.50 level.\u00a0 An eclipse of September 2008 highs would serve as yet another signal that the global economy is on the path to recovery.\u00a0 As for the downside, the EUR\/USD has multiple uptrend lines as Wednesday lows to fall back on.\u00a0 The currency pair is separating itself from the psychological 1.45 level, another positive indicate for the EUR\/USD trend-wise.<\/p>\n

Present Price: 1.4719<\/p>\n

Resistances: 1.4741, 1.4772, 1.4800, 1.4822, 1.4841<\/p>\n

Supports: 1.4703, 1.4678, 1.4656, 1.4631, 1.4608<\/p>\n

Psychological: 1.45, 1.50<\/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\u2019s medium-term uptrend flexed its muscles yesterday, driving past 1.47 on solid buy-side activity.\u00a0 The EUR\/USD benefitted greatly from a return to risk following better than expected U.S. Industrial Production and Capacity Utilization.\u00a0 As we explained in our previous analysis, the EUR\/USD had few technical barriers to the topside, allowing … <\/p>\n

Continue reading “EUR\/USD Trades off Weekly Highs Amid Profit-Taking”<\/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-3881","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3881","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=3881"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3881\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3881"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3881"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3881"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}