FX.co ★ EUR/USD. We Expect a Break In The Trend Line, December 07, 2010 (Daily Strategy)

The likelihood for forming a bottom on the EUR/USD pair rose significantly last Friday, after an impressive leap by the pair and a weekly close around the level of 1.3430. One may enter a buy deal on the pair even at its present values, although perhaps it is preferable to make the entry conditional on a breaching of the trend line formed by the weekly close.

A breaching of the trend line around 1.3425 will confirm the positive momentum on the pair, with the intermediary goal for exit from the buy deal set around the resistance level of 1.3950.