Euro (€) / US Dollar ($) (EUR/USD) Mid-Session Update for December 17, 2012

The EUR/USD made an explosive move to the upside on Friday, taking out last week’s high at 1.3126 and the October 17 top at 1.3139. The strong momentum suggests that traders may be already setting their sights on the September 17 top at 1.3172. 

The strong move has also placed the Euro on the bullish side of an uptrending Gann angle at 1.3120. Another uptrending Gann angle at 1.3076 is providing additional support.

DAILY EUR/USD CHART

 The move by the EUR/USD is also rattling the weekly chart. Today’s move broke out over a downtrending Gann angle from the 1.4247 top from October 2011. This angle is at 1.3067.

WEEKLY EUR/USD CHART

A close on the high today will put the market in a position to challenge another downtrending Gann angle from the top formed the week-ending May 6, 2011 at 1.4940. This angle is at 1.3240. A move through this angle will represent a serious shift in investor sentiment.

Credit : By FX Empire Analyst - James Hyerczyk 

EUR/USD Forecast December 17, 2012, Technical Analysis

The EUR/USD pair broke above the 1.3150 level at the end of the session on Friday, signaling a new leg of in this currency pair. Is because of this that we think a break above the highs from the Friday session will signal that the pair is prepared to grind higher, and aim towards the next major resistance area in the form of the 1.340 level. We actually believe that we will eventually at 1.35, but it will be a grind, not a shot straight up.

This is mainly predicated upon the Federal Reserve and its quantitative easing policies, and the fact that the European debt issue seems to be in the back burner right now. Going forward though, there will be shocks to the system that will cause this pair to be erratic at times, especially considering that we are in the last two weeks of the year which of course is typically low-volume trading.

Credit : FX Empire Analyst - Christopher Lewis

Forex Trade Setups Commentary: EURUSD Market Update – 14th December 2012

EURUSD – Euro/dollar ends week at key resistance

The EURUSD strengthened significantly this week, gaining ground for the last 5 days in a row. We can see this market broke up from an inside bar setup that formed just above key 1.2875 support on Monday and then moved higher into today’s New York close. The market pushed up and tested key resistance near 1.3170, closing the day slightly below that key level. Next week, this key resistance will be important, if the market continues higher from current levels and closes above 1.3172 on Monday, it will be a very bullish sign and will essentially put an end to the range-bound conditions we’ve seen in this market for a while now. If the market rotates lower from current levels we will keep a close eye on support levels for price action buy signals to join the fresh bullish momentum in this market.

Forex Trading Commentary by Nial Fuller