13 Jul 2015
EUR/USD dropped after CB divergences - FXStreet
FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet noted the downside play that came of markets focusing back on bank divergences.
Key Quotes:
"The EUR/USD however, sunk after the initial spike, falling down to 1.1000 by the end of the US session, as investors flipped back towards the greenback and stocks."
"Also, with a Grexit out of the picture, the market is focusing back on Central Bank imbalances."
"Technically the 1 hour chart favors additional declines, as the price has extended below its moving averages, whilst the technical indicators maintain their bearish slopes, despite being in oversold territory."
"In the 4 hours chart, the bearish tone is also present, albeit lacking momentum, as the technical indicators stand flat below their mid-lines. Considering the wide intraday ranges seen lately, the price needs now to extend below the 1.0955 region to be able to extend its decline towards the 1.0820 region, the next strong midterm support."
Key Quotes:
"The EUR/USD however, sunk after the initial spike, falling down to 1.1000 by the end of the US session, as investors flipped back towards the greenback and stocks."
"Also, with a Grexit out of the picture, the market is focusing back on Central Bank imbalances."
"Technically the 1 hour chart favors additional declines, as the price has extended below its moving averages, whilst the technical indicators maintain their bearish slopes, despite being in oversold territory."
"In the 4 hours chart, the bearish tone is also present, albeit lacking momentum, as the technical indicators stand flat below their mid-lines. Considering the wide intraday ranges seen lately, the price needs now to extend below the 1.0955 region to be able to extend its decline towards the 1.0820 region, the next strong midterm support."