Yesterday Euro/Dollar continued the downward correction, reaching a bottom at 1.3863, and closing the day higher at 1.3984. This is a normal correction after the considerable bullish momentum last week. We may see further downward correction, but the medium term prospects are ascending, if the currency couple holds above 1.3740. Short term signals, however, are neutral. Immediate support is yesterday's bottom 1.3865, followed by 1.3750. First resistance is 1.4045. Break above this level may cause a further bullish momentum towards 1.4165. The CCI indicator is in the overbought zone and downwards of the daily chart, assuming potential descending pressure.
Technical resistance levels: 1.4045 1.4165 1.4285
Technical support levels: 1.3865 1.3750 1.3690
