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08.05.2012 10:14 AM
EUR/USD Intraday Technical Analysis

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The spot rate is currently testing the intermediate resistance of its medium term bearish channel at 1.3080 and seems to initiate a decline. However, a breakdown of these levels will reveal siginicant potential enabling to reach its upper limit in the point 1.3270.

Technical indicators do not provide clear signals but as long as the resistance is unbroken, the decline is most likely to take place. Bollinger bands are much discarded due to the strong recent decline these. The situation is expected to stabilize soon. 

According to previous events the market will provide a bullish opportunity as soon as the spot rate has broken through its resistance of 1.3080 with the 1st objectives seen at 1.3140 and 1.3160 levels. In case the level 1.3060 is passed through, the prospect scenario will be cancelled.

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