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15 Jul 2013
Flash: EUR/USD could retest 1.3400 – TD Securities
FXstreet.com (New York) - According to the TD Securities Team, “The EUR/USD is still struggling to define a strong sense of direction it seems.”
Heavy selling last week extended through midweek, taking the EUR back to 1.2750. That was followed by the biggest two-day rally in EUR/USD in three years (only back to the 1.32 area however).
Is this a strong rebound that sets the market on course for renewed strength or are we stuck in a sideways range trade still? “At this point, the technical signals (especially the longer-term ones, see below) suggest the former. The fact that the 1.32 area held more or less perfectly perhaps suggests that latter.” the team adds. Gains through 1.32 will open broaden topside prospects for a retest of 1.34. Remaining below 1.32 early this week should see the short-term pivot area (1.2960/1.30) retested.
Heavy selling last week extended through midweek, taking the EUR back to 1.2750. That was followed by the biggest two-day rally in EUR/USD in three years (only back to the 1.32 area however).
Is this a strong rebound that sets the market on course for renewed strength or are we stuck in a sideways range trade still? “At this point, the technical signals (especially the longer-term ones, see below) suggest the former. The fact that the 1.32 area held more or less perfectly perhaps suggests that latter.” the team adds. Gains through 1.32 will open broaden topside prospects for a retest of 1.34. Remaining below 1.32 early this week should see the short-term pivot area (1.2960/1.30) retested.