FOREX: Euro dips vs Dollar today after touching 3-week high. EUR/USD trades over 1.2350

By CountingPips.com

The euro has retreated slightly in forex trading against the U.S. dollar today after increasing to a three-week high point in earlier trading. The EUR/USD currency pair bounced off the 1.2417 exchange rate, its highest level since May 28th as the pair continues its rebound off of the June 7th low and is on the way to a second consecutive gaining week.

The EUR/USD opened the day near the 1.2386 mark and adavanced in early trading to 1.2417 where resistence pushed the pair lower near its current 1.2360 level. The low for today is at the 1.2353 level (Wednesday’s high point).

The EUR/USD has managed to stay above the 1.2330 level (2008 low point) and could see further upside potential with the 1.2600 area looming as potential resistance. The 1.2600 area has acted as previous support/resistance area and the 38.2 fibo retracement from 1.3817 to 1.1876 is right around the 1.2620 level. Below 1.2330, the 1.2150 level (recent support) and 21-day simple moving average (1.2227) levels are of potential support while a break below the 1.2150 level will provide downside pressure for a retest of the 1.1876 level.

EUR/USD Daily Chart

Key Levels:

1.2620 – fibo retracement level
1.2580/1.2600 – previous support/resistence
1.2543 – 50-day moving average
1.2452 – May 28th resistence
1.2417 – Intraday high 6-18
1.2330 – 2008 low support/resistence
1.2227 – 21-day moving average
1.2150 – level (recent support)
1.1876 – June 7th (4-year low)