EUR/USD Weekly Summary

Saturday, July 24, 2010

The EURUSD was indecisive this week, formed a Doji on weekly chart. We are still in an upside correction phase and price consolidating lower, making a new minor bearish channel after unable to move consistently above 1.3000 psychological level. We need a consistent move above that area to continue the bullish scenario testing 1.3120 (38.2 Fibo retracement of 1.5140 - 1.1876). Break above that area could trigger further upside momentum testing 1.3341 (April 30 high). Immediate support at 1.2735 area. Break below that area could trigger further bearish pressure testing 1.2530 but as long as price is moving inside the bullish channel the upside scenario should remain intact.