EUR/USD Intraday Short Taken @1.4512; Stop 1.4612 | Learn Forex | GoLearnForex.com

EUR/USD: The market has been carving out a series of lower tops since stalling shy of 1.5000 in early May, and the latest rally still maintains the integrity of this broader downtrend. If the market is to adhere to this broader downtrend, a fresh lower top should take form somewhere below the previous lower top from July 4 at 1.4580. Tuesday’s intense intraday rally has opened a push just over 1.4500 and if the market is going to stall out in favor of a fresh lower top, now is the time. We also like the idea of playing the short side above 1.4500 with the daily average true range having already been met for the day and the hourly RSI racing well into overbought territory to suggest that additional upside for the day could very well be limited. At this point, 1.4580 becomes the key level of resistance, and only a break above this level will officially negate outlook. This is an intraday short and we will revisit on the New York close to see how things played out. POSITION: SHORT @1.4512 FOR AN OPEN OBJECTIVE; STOP 1.4612. LOOK TO EXIT IF OUT OF MONEY AT NY CLOSE ON TUESDAY. LOOK TO ELIMINATE RISK IF IN THE MONEY AT NY CLOSE ON TUESDAY.

Written by Joel Kruger, Technical Currency Strategist If you wish to receive Joel’s reports in a more timely fashion, email This e-mail address is being protected from spambots. You need JavaScript enabled to view it and you will be added to the distribution list.