by: iFOREX.bg
Last week Euro/Dollar made a moderate movements and traded within the 1.2985 - 1.2897 range. On the weekly chart the European currency failed to develop growth and detained under the line of middle term decreasing trend, located at 1.2980. Yesterday, after break under the key support level at 1.2970, the currency couple reached a bottom at 1.2897 and closed at 1.2946. The descending triangle formed gave us a valid descending scenario with expectations for a further downward movement towards 1.2500 this week. Signals remain descending, with immediate support around 1.2835. Break below that level may cause further decreasing momentum towards 1.2730. The CCI indicator is in the oversold zone and upwards of 4 hour chart, so be careful for potential upwards rebound with testing of yesterday's top and immediate resistance 1.2985. Break of the above short term resistance may lead to further upward adjustment.
Technical resistance levels: 1. 2985 1.3095 1.3200
Technical support levels: 1.2835 1.2730 1.2605
