Analysis for EURUSD 24-28 May 2010

Previous Week 10 – 14 May

O: 1.2869 H: 1.3094 L: 1.2344 C: 1.2358

Last Week 17-21 May

O: 1.2359 H: 1.2672 L: 1.2143 C: 1.2570

Weekly

Weekly

Daily

Hourly

Fundamentals for the week:

• Europe and Canada is closed for Monday so the “true trend” will probably start on Wednesday, Asian session.
• We saw a four year low on the Euro this week and a battering of the equities.
• Friday seemed to be a recovery day for the Euro and the DOW but let’s see.
• On Sat, we had some news of the Bank of Spain taking control of a troubled regional savings bank for the second time (Cajasur, E596m).
• We also had Germany banning short sales.
• The U$1.1 trillion line didn’t prop up the Euro as would have expected but fundies are fundies.
• Think like a fundamentalist but trade like a chartist.

Expected for the week (techies)

• We hit a new 4 year low at 1.2142 and this is currently a strong support.
• Any lower and we will be heading towards the 1.2042, 1.1824, 1.1636 area.
• The general trend is still bearish but it seems like the trend is reversing and we may be more bullish next week if 1.2742 is the new support.
• Anything below 1.2742 and there might be some consolidation from 1.2742 to1.2498.
• Break 1.2498 = 1.2355, 1.2142, 1.2042, 1.1824, 1.1636.
• On the upside, 1.2779, 1.2898, 1.2986, 1.3285.
• Watch out for any news which may rattle this pair.

Fundamentals (based on +8GMT)

Mon:
EUR/CAD Holiday
USD Zone - USD news

Tue:

EUR Zone - GBP news

USD Zone - USD news

Wed:
JPY Zone – Bernanke speaks

EUR Zone – EUR/ GBP news

USD Zone – EUR/USD news

Thu:
USD Zone - USD news

Fri:
USD Zone - USD news