By: Colin Jessup
The EUR/USD is continuing its bearish trend after the London Open. Although price was bullish yesterday, it was halted by the weekly resistance zone at 1.3223. So far today it has fallen to the Daily S1 level at 1.3174, but there is a high probability that it will test the Daily S2 by the end of the day at 1.3125. Below that we will have one more support zone at 1.3092 before we reach the weekly zone at 1.3050. If price reverses and turns bullish, look for resistance at the previously mentioned 1.3233 and then 1.3255 or 1.3280. Price has closed below the daily moving average twice in the past 3 trading days, and a close below 1.3200 today will confirm a bearish overtone and a close below 1.3160 will surely indicate a push for the 50% retracement level from January's low to February's high.
Happy trading!