Technical forecast for EUR/USD

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EURUSD broke the upper end of the range at 1.2965/75 as expected to target the 200 day moving average at 1.3020/30 where we suggested shorts with stops above 1.3060. We did not break 1.3060 & being overbought in the short term we could see a drift back to 1.3000. We may see a bounce from here today but if we continue lower look for 1.2960, possibly 1.2929. If we fall as far as 1.2895 this could present a buying opportunity but we need stops below 1.2850.

A break above 1.3060 however keeps the rally going for a target of 1.3115. Strong resistance at here could see a high for the day. Exit longs & try shorts with stops above 1.3150 & then look for 1.3180/95.

Jason Sen began his career in the options pits on the trading floor of LIFFE in 1987 at the age of 19, making markets on his own account. In 2001 when the trading floor closed he successfully made the transition to day trading on computer screens. Jason always had an interest in technical analysis throughout his trading career but began to study this area in depth from 2006. www.daytradeideas.com has established itself as the leading provider of... More