Euro Dollar: A good entry point to play down the Euro Dollar Thursday, July 8, 2010 at 12:08

The Euro is changing this morning up slightly against the dollar. However, the single currency is still below its resistance of $ 1.2672. Yesterday, the cross has exceeded its intermediate resistance of $ 1.2611 to return to the contact resistance of 1.2672 $ major.

Around 12:00, the spot euro / dollar is approximately 1.2665.

From a graphical perspective, we are still bearish medium-term Dollar Euro towards $ 1.2145, $ 1.1877 or even 1.2672 as the $ is not exceeded. The level of 1.2672 corresponds to both: to 23.6% retracement of the decline since December 2009 on top of the cross but also an important resistance level graphics.

In the short term, changing the cross above its moving average 20 hours (shown in dark blue on the chart schedule). Moreover, the slope of the latter is positively oriented. However, we remain bearish as long as $ 1.2672 are not exceeded.
A subsequent motion correction should take place towards $ 1.2611, $ 1.2560 even. Exceeding $ 1.2672 invalidate our scenario in the short and medium term, in this case, a rise towards $ 1.3094 in the medium term, could occur.

Hourly data chart:



Daily data chart: