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15 Jul 2013
Flash: EUR/USD poised for bearishness – UBS
FXstreet.com (New York) - UBS Strategists, Gareth Berry and Geoffrey Yu take a technical perspective at today's EUR crosses and note that there is a generally mixed-trending bias ahead.
“With the MACD still below its zero line, the broader risk remains for the EUR/USD to resume the downside. Support is at 1.2981 ahead of 1.2755, while resistance is at 1.3164, which was defended well on closing basis, suggesting a bearish outlook.” the analysts note. In terms of the EUR/CHF, critical resistance is at 1.2485. A closing break above this would be positive, opening 1.2650. Downside should be limited, with support at 1.2342, which is expected to hold on closing basis.
Moving to the EUR/GBP, there is a strong resistance at 0.8656, which was tested twice last week. With the momentum tools crossing higher, a closing break above this would trigger further upside. Support is at 0.8575 ahead of 0.8469. Finally, concerning the EUR/JPY, upside is held by the resistance at 131.12 ahead of the key 133.80. Downside should be limited, and we expect the support at 128.04 to hold on closing basis.
“With the MACD still below its zero line, the broader risk remains for the EUR/USD to resume the downside. Support is at 1.2981 ahead of 1.2755, while resistance is at 1.3164, which was defended well on closing basis, suggesting a bearish outlook.” the analysts note. In terms of the EUR/CHF, critical resistance is at 1.2485. A closing break above this would be positive, opening 1.2650. Downside should be limited, with support at 1.2342, which is expected to hold on closing basis.
Moving to the EUR/GBP, there is a strong resistance at 0.8656, which was tested twice last week. With the momentum tools crossing higher, a closing break above this would trigger further upside. Support is at 0.8575 ahead of 0.8469. Finally, concerning the EUR/JPY, upside is held by the resistance at 131.12 ahead of the key 133.80. Downside should be limited, and we expect the support at 128.04 to hold on closing basis.