EUR/USD Update:

[RTFX-Trading]

Current EUR/USD bearish move has now stalled ahead of 1.3405, which is the 68.1% Fibonacci retracement of the move from 2008 low to 2009 high. The market is trading sideways at the moment and with positive divergence on the RSI (14) Indicator and last week’s daily close (on the 3rd of March) above 20 day SMA, could be indicating a short term correction ahead. However, our view is that such a move should remain a corrective one, as the overall structure remains bearish.

A daily close above 1.3700, would be a clear indication that the short-term correction is in place. However, the next major move should come with the break of 1.3434 (2010 low) which should expose further setbacks to test the psychological barrier at 1.3000. On the upside, a corrective recovery above 1.4100, would abort our bearish outlook, and pave the way for further gains to the upside.



Emman Xuereb

Trading Desk
RTFX Ltd
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