FX.co ★ EUR/USD intraday technical levels and trading recommendations for September 3, 2013

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

Last week, the EUR/USD pair managed to have a bearish engulfing Weekly candlestick which was formed by the strong bearish momentum witnessed especially on Thursday supported by the fundamental data about inflation data in Germany representing deterioration.

The short-term view turned to be bearish towards 1.3180 (previous week's low) where the SMA-100 comes to meet the pair roughly, where price action should be watched carefully for a possible BUY entry.

As depicted on the chart, Yesterday's daily candlestick remains an inside bar, the low of which has been broken down obviously today supported by the bearish weekly closure applying SELLING pressure on the market to exceed this low around 1.3175 for further decline towards 1.3150 and 1.3100 initially.

On the 4H chart, we have a broken bullish channel that lead to price decline towards 1.3170.

This is the key-level for today and probably this week as fixating below it will bring bearish pressure to the market towards the next demand level located around 1.3060.

The EUR/USD pair remains bearish aiming for lower targets as long as 1.3170 remains unexceeded.