EUR/USD Daily Forecast 17.01

EUR/USD - The Euro declined on yesterday and failed to hold in the 1.47 area, reaching lows a bit below the 50% fib retracement of the 1.4310-1.4920 move from December's low to January's high. Support is now seen at 1.4640 backed by 1.4600 and 1.4565. Resistance starts at 1.4690 followed by 1.4725 and 1.4770. Daily sentiment is bearish due to yesterday's decline while the hourly studies are bullish at the time of this writing. It seem that the Euro decline is over for now and the pair has found intra-day support at 1.4640 which may hold, so that the Euro will recover and try to climb higher, into the 1.47 zone. On a short-term basis, we expect the Euro to recover but looking at the daily charts, things doesn't seem too good for the Euro. We will keep an eye on the 1.4600 support level, maybe the 50 fib retracement mentioned above will hold and the Euro will regain its recent losses, putting some pressure on the 1.48 and 1.49 marks once again. Current quote is 1.4672 @07:01 GMT.

E-Forex