07, March 2013

EUR/USD (a 4-hour chart)

EUR/USD (a 4-hour chart)

U.S. indices climbed above its recent highs, led by DJIA yesterday. The day was closed at new heights. It looked like a regulation within a certain range.

Both shores of the Atlantic Ocean showed a positive trend, while the pair EUR/USD was trading in a range that is limited with the level reached in the beginning of March.

Asian session started on the hourly chart with a rather limited bullish tone.

The price is above 20 SMA and oscillators made a turn down. It showed that the pair is not so strong. It is being traded in a range - 1.30 - 1.31. Today we expect the results of the European Central Bank meeting.

The pair remains in a downtrend on the borders of the 4-hour and daily charts. This occurs regardless a rising then 2 days correction.

In the medium term the bears will be focused on the index 1.2900. The pivot of each month is at the level 1.2819 being a target of falling.

Another scenario could be turning up to the level of 1.3100. But the resistance in this area does not give strong hope for a sizeable upward movement.