Tuesday, May 18, 2010

Euro Continues to Unwind

There was further selling on Tuesday in the Euro as support and prior lows were taken out. The trend remains down on all time frames. I am still watching for moves above resistance for signals of a reversal, yet breaks below support should also also be traded as that is the current trend.

With the additional selling seen on Tuesday, it will take a move 1.2450 to indicate any bullishness which has a chance of being sustained.

Resistance is at 1.22 followed by 1.2230-1.2250. Resistance beyond is at 1.2280 and 1.2310.

On the downside, support is at 1.2150 with a slide below indicating further selling and a short-term target of 1.2100 and 1.2050.

Cory Mitchell, CMT

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