Chart of the Day
EUR/USD Daily Chart — September 3, 2009
By
James Chen
, Published:
9/3/2009
(Price on 1st pane, Slow Stochastics on 2nd pane; horizontal support/resistance levels in yellow; uptrend lines in green; downtrend lines in red; 50-period simple moving average in light blue.)
9/03/2009 – EUR/USD – Price action on EUR/USD, a daily chart of which is shown, has recently been in a continuing consolidation within the context of two parallel uptrend channels. The larger of the two channels extends from the beginning of the year, while the smaller one extends from early June. Currently, price has found some support near the bottom portions of both these channels, and has also found some support around the 50-day simple moving average. Within the context of the current uptrend (on two scales), the 1.4450 region is the major upside resistance target, as it represents a 7-month high and the highest point in the current uptrend. In the event of a breakout above this level, major dynamic resistance resides initially around the top of the smaller channel. Any significant breakdown below both of these channels, especially the larger one, would place the current uptrend in serious jeopardy, with the 1.3750 price region serving as major downside support.
To download the latest version of FX AccuCharts
please click here: Download FX AccuCharts
please click here: Download FX AccuCharts
James Chen, CMT
Chief Technical Strategist,
FX Solutions
Chief Technical Strategist,
FX Solutions
*IMPORTANT NOTICE: The information contained herein is solely for informational purposes and should not be construed as trading advice. FX Solutions ("FXS") believes that the information contained herein is accurate however, FXS cannot guarantee the accuracy of said materials. Under no circumstances shall FXS have any liability to any person or entity for (a) any loss or damage in whole or in part caused by, resulting from, or relating to, any error (negligent or otherwise) or other circumstance in connection with the collection, compilation, analysis, interpretation, editing, transcription, transmission, communication, publication or delivery of such information, or (b) any direct, indirect, compensatory or incidental damages whatsoever (including without limitation, lost profits) resulting from the use of or inability to use any such information. The charts and other opinions constituting the information contained herein are, and must be construed solely as statements of opinion and not statements of fact, recommendations and/or trading advice. FXS cautions that no single source of information should be used when making trading decisions. Click here for more information.