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Tepid Bounce *RES 3: 1.0958.......>

EURO-DOLLAR TECHS
EURO-DOLLAR TECHS: Tepid Bounce
*RES 3: 1.0958 High Feb 10
*RES 2: 1.0926 High Feb 12 and key near-term resistance
*RES 1: 1.0889 High Feb 13
*PRICE: 1.0801 @ 09:44 GMT Feb 19
*SUP 1: 1.0764 1.0% 10-dma envelope
*SUP 2: 1.0777 1.764 projection of Jan 16 - Jan 29 decline from Feb 3 high
*SUP 3: 1.0672 3.0% Lower Bollinger Band
Bears won the argument well on Tuesday and the tepid bounce so far today will do
little to instill any confidence in a recovery. The 1.0% 10-dma envelope remains
key support going forward after the price arrested yesterday's decline. Evidence
still suggests that the strong impulsive sell-off is still dominating, opening
projection support down at 1.0777. We continue to stress that although the
downtrend remains intact, the trend is steep and the risk of a sharp reversal
increases each day. Initial resistance is at 1.0889.

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