New worries in the credit sector made the Euro hit its intrasession lows in the Asian session, as the investors are still flying to safety. At 04:34 (CET), the single currency hit the 1.2606 bottom, as the markets are questioning if the US government rescue plans will be enough to avoid the nation to go into recession.
There's no doubts that the EurUsd traders will keep their eyes in what happens in the US today. The consumer prices and the Fed minutes couls suggest more interest rate cuts in the next FOMC meeting in December.
With the traders having their eyes on 1.2500 and 1.3000, the EurUsd trading at 1.2648, ranging from 1.2606 to 1.2648. The current price is over yesterday's close at 1.2618. Checking the hourly graphics, the 20- and 50-day Exponential Mobile Averages (EMA) are under the 200-day EMA.
The supports are watched at 1.2500 (key), 1.2324 (January 2006 high) and 1.2000 (key). The resistance are at 1.2733 (October 23rd high), 1.3000 (key) and 1.3353 (October 21st high).
Meanwhile, the 60-minute Relative Strenght Index (RSI) is at 45 points, rebounding from the overbought area. The average volatility per hour is 100 pips. Checking the daily graphics, we see that the current price is under the 38.20% (1.3063) and over the 50.00% (1.2141) Fibonacci retracement lines.
|