FX.co ★ EUR/USD Intraday Technical Analysis and Trading Recommendations for April 4, 2012

Pivot Point: 1.3271.

Time Frame: H4

Overview:

The EUR/USD pair has broken the resistance level and turned towards the support level near the last week's point 1.3110 (March 16, 2012). Therefore, the pair has already formed a strong support at 1.3110. Moreover, having failed to close below 1.31, the pair started showing a bullish market at this level. It is necessary to mention that these levels coincide with strong levels for bulls on H4 chart, and the pair has formed a strong support at the level of 1.311. So the pair will move upwards which is a convincing fact; the structure of the upside movement looks as non-corrective indicating a bullish possibility above 1.3110. This can be a good sign to buy the pair above 1.3110 - 1.32 with the first target at 1.33 initiating a uptrend in order to continue the bullish mood towards the point 1.335 and further to 1.3412. However, it should also be noted that the price is still between 1.3390 and 1.32, as the RSI and the last strong resistance level are still able to begin a downtrend at this level. So the market indicates a bearish opportunity at the level 1.342 on H4 chart with the first target 1.3305 (Weekly Pivot Point) and continues towards 1.31.

Trading Recommendations:

According to the previous events, the price is still located between 1.3390 and 1.32.

Buy-deals above 1.3212 with the targets seen at 1.33 and 1.3412 levels.
Below 1.342 look for further downside pace with the first target seen at 1.33 and 1.3110 levels.

Technical Levels:

R3 1,3483
R2 1,3425
R1 1,3329
PP 1,3271
S1 1,3175
S2 1,3117
S3 1,3021

Observation (s):

Please, consider the market volatility before investing, as the sight price may has already been reached and scenarios invalidated.

Buyers are BIDding at a lower price.

Sellers are ASKing for a high price.