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2014.07.2307:43:00UTC+00Iron Fx Global: Euro Outlook

  • Declined significantly on Tuesday, falling below the psychological barrier of $1.3500 and breaking below the lows of February at $1.3475.
  • We believe the move sets the stage for larger bearish extensions, opening the way towards the $1.3400 support area, marked by the low of the 21st of November.
  • The MACD remains below its blue resistance line and below both its zero and signal lines, confirming yesterday's negative momentum.
  • The RSI dipped within its oversold zone, but it's pointing sideways. We ould search for a price bounce upon its exit from the extreme area.
  •  In the bigger picture, the move below the $1.3475 hurdle confirms a forthcoming lower low, while the 50-day moving average touched the 200-day one and a bearish cross in the near future will add to the negative outlook of the pair.

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