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50-day EMA Gives Way

EURO-DOLLAR TECHS
  • RES 4: 1.2011 High Sep 1 and the bull trigger
  • RES 3: 1.1929 High Sep 2
  • RES 2: 1.1917 High Sep 10 and a key resistance
  • RES 1: 1.1872 High Sep 21
  • PRICE: 1.1710 @ 16:27 BST Sep 22
  • SUP 1: 1.1692 Low Sep 22
  • SUP 2: 1.1687 23.6% retracement of the Mar - Sep rally
  • SUP 3: 1.1639 Low Jul 27
  • SUP 4: 1.1581 Low Jul 24

EURUSD bearish pressure continues to dominate with the 50-day EMA giving way Tuesday. Monday's sell-off saw the pair slip through key support at 1.1738, Sep 17 low. This reinforces bearish signals that appeared last week. A trendline break drawn off the May 14 low and what appears to be a head and shoulders reversal on the daily chart highlight downside risk. Initial firm resistance is seen at 1.1872, the Monday high.

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