25 Sep 2013
EUR/USD breaks short-term support. More downside ahead?
FXstreet.com (Barcelona) - The EUR/USD broke below what could have been “correction support” at 1.3476 – signaling to traders the increased likelihood of more short-term downside.
European and US data to drive the action Wednesday
Wednesday, outside of any political developments, the EUR/USD will be driven mainly by US Durable goods and new home sales data later in the session. Early Wednesday, however, EUR/USD traders will pay some attention to the German Consumer Confidence and Import Price data to see if it generates any strong movement in the cross.
Technical outlook for EUR/USD
Technicians say the EURUSD’s attempt to hold up above short-term “correction support” at 1.3476 failed late Tuesday. They note that this breakdown should open the door to more of a downside correction near-term – likely down to 1.3447 and/or 1.3419. Very short-term resistance comes in at 1.3496 and is followed by the 9/22 peak at 1.3546.
European and US data to drive the action Wednesday
Wednesday, outside of any political developments, the EUR/USD will be driven mainly by US Durable goods and new home sales data later in the session. Early Wednesday, however, EUR/USD traders will pay some attention to the German Consumer Confidence and Import Price data to see if it generates any strong movement in the cross.
Technical outlook for EUR/USD
Technicians say the EURUSD’s attempt to hold up above short-term “correction support” at 1.3476 failed late Tuesday. They note that this breakdown should open the door to more of a downside correction near-term – likely down to 1.3447 and/or 1.3419. Very short-term resistance comes in at 1.3496 and is followed by the 9/22 peak at 1.3546.