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10.10.2012 07:36 PM
EUR/USD Buy into the Channel - For October 10/ 2012 (Daily Strategy)

The EUR/USD pair fell sharply yesterday, because of the problems in the European Union. Investors hesitate to buy this pair. 

The market has been driven by all the excuses that European finance ministers had given in recent months. In view of this, if the "solution" does not come in the short term, this is going to deflate like a globe, because the volume that has given strength to the euro would disappear, and the euro trading would return again to the levels of 1.25 and 1.20 in the medium term.

We still maintain our bullish strategy for this pair above 1.2750, if we see on the chart that the pair has formed an uptrend channel, now it is located within this channel. Yesterday it touched this channel was touched at support 1.2835. It is likely a setback to daily support of 1.2850 will be. We recommend buying, with objectives to the upper channel around 1.3080 dollars per euro at that level.

 

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