empty
 
 
09.08.2012 10:02 AM
EUR/USD Intraday Technical Analysis

This image is no longer relevant
 

A new short term bearish channel has been formed this week. The spot rate broke the intermediate resistance of this one at 1.2370 leading to an acceleration. A pull back at these levels is expected before reaching the upper limit of the channel at 1.2440. An output of this channel would free a large potential and initiate a new trend.

Technical indicators provide buy signals supporting the assumption of a pull back. Bollinger bands have greatly tightened in recent days showing a decline in volatility and the imminence of a violent movement. Moreover we can see lower volumes due to summer holidays raising fears of false signals.

For the moment the spot rate evolves in its channel then the potential of rise is limited. We recommend a buy at the levels of 1.2370 with the 1st objective at 1.2430. But when there will be an output of this channel the potential will greatly increase.

InstaForex Analyst,
Analytical expert of InstaForex
© 2007-2026
Summary
Urgency
Analytic
InstaForex Analyst
Start trade
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $10000 more!
    In January we raffle $10000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback