EURUSD: While EUR maintains an immediate downside pressure, its broader medium term upside bias remains intact. However, the pair should face further weakness before eventually putting in a bottom. Support comes in at the 1.3600 level , its psycho level with a breach of here paving the way for a run to the downside towards the 1.3561 level, its Feb 12 2014 level. Its daily RSI is bearish and pointing lower supporting this view. On the other hand, EUR will have to retake the 1.3695 level to halt its present decline. This if seen could force further upside towards the 1.3772 level. Above here will turn attention to the 1.3800 level, its psycho level. Further out, resistance is located at the 1.3893 level, its Dec 27 2013 high. A turn above here will expose the 1.3950 level and next the 1.4000 level. All in all, EUR remains biased to the downside on pullbacks.
Article by www.fxtechstrategy.com