FX.co ★ EUR/USD intraday technical levels and trading recommendations for September 9, 2013

The EUR/USD pair has been finding solid Supply around 1.3400 representing failure of the bulls to close above the high of the preceding weekly candlestick at 1.3380, which applied bearish pressure again on the pair during last week, despite the bullish closure of the previous weekly candlesticks.

Last week, the EUR/USD pair managed to have a bearish daily closure below 1.3170 formed by the strong bearish momentum witnessed especially on August 29 supported by the negative fundamental data.

The price level of 1.3170 (previous week's low and SMA-100) has been broken down leading towards 1.3100. However, immediate response from the bulls was expressed resulting in a bullish engulfing daily candlestick which took place on Friday.

Today, the euro gained some steadiness against the U.S. dollar amid uncertainty related to the United States to launch military strikes on Syria or not. It should be noted there is no major economic data today.

Technically, the broken bullish channel led to price decline towards 1.3170 which is the nearest demand level to meet the pair. A false bearish breakout below it took place before another bullish movement towards 1.3250 (SMA-100).

The next key-level to be watched is located around 1.3300-1.3320 where a prominent supply level is located. Price action should be watched there so that we can take high probability SELL entry.