EUR/USD retreat from 1.3950 extends below 1.3830
Posted by cvbasheer on October 29, 2010
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FXstreet.com (Barcelona) – The Euro is suffering on Friday, weighed under increasing risk aversion, and retreat from 1.3950 high on Asia has extended below 1.3830 support area to reach session low at 1.3815 so far, giving away half of the ground taken yesterday.
On a longer-term perspective, the pair remains consolidating within a “flag formation”, according to Nicole Elliott, senior technical analyst at Mizuho Corporate Bank: “We continue to consolidate in a ‘flag’ formation with yesterday’s close above the nine moving average possibly turning momentum bullish.”
Support levels, at the moment could be located at 1.3830 and 1.3800 and 1.3775 (intra-day levels). On the upside, the pair might find resistance at 1.3875 (intra-day level), and above here, 1.3900 (weekly Pivot Point), and above here, 1.3950 (session high).