Forex4you Technical Analysis 15 July 2011

namrata Fri Jul 15, 2011 5:25 am

EUR/USD: consolidating before news
The exchange rate has consolidated ahead of an important news announcement later today. It has fallen slightly off the highs and has been trading just below the level of the triangle lower borderline at 1.4150, indicating a bearish start to the day. The overall view is bearish, however, the upsurge on Wednesday which posted a long green candle indicated bullish potential. Nevertheless the gap at 1.4260 has been filled so now that that job has been done, the markets could start to fall again. Much depends on the results of the EU Bank Stress Tests at 16:00, but if it is bearish, an initial target down could be the consolidation zone at 1.4000, whilst if positive there may be a rally to the line of resistance at 1.4300.

Forex
Analysis by: Joaquin Monfort
Forex4you analyst

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