FX.co ★ EUR/USD Bearish Outlook, January 19, 2011 (Daily Strategy)

EUR/USD

The pair euro - U.S. dollar followed the major indexes in Europe, returning to operating profit during Thursday's session; the pair managed to overcome, only on a temporary basis, the area of 1.29, to consolidate its upward trend short-term.
On a technical level, on H4 chart we can see that the pair is above the first weekly resistance (1.2830). Given that the pair has upward force, your next objective is 1.3000, it should be noted that the euro has passed a short-term bearish line, although this break, which occurred on Wednesday, will probably not find a strong upward velocity, we believe the level of 1.2980 resistance and 200-day moving average. Cruising around 1.3000 will be a strong barrier that the pair will have to overcome. Therefore, we can sell at these levels of resistance with a short-term objective at 1.2760 (which stands for 61.8% Fibonacci retracement).