Euro bears on the move

By Julian Yosovitch

September 2, 2014 • Reprints

http://www.futuresmag.com/2014/09/02/euro-bears-on-the-move#.VAXg7p35rdc.twitter

The euro (EUR/USD) has extended losses and returned to the $1,313 level.

We see that the currency is trading below the 38.2% Fibonacci of the entire rally between $1.20 and $1.40. This break strengthens the bearish move for the EUR/USD in order to bring to market towards lower areas around $1.30 to start and then to $1.28 (back to 61.8%).

A break below 1.28 will be considered as a sign of weakness, making way for new bearish movement towards depressed front values.

If bullish movements come into play, we may see that the euro will find resistance around 1.335-1,345 area, while $1,365 is considered the most significant obstacle in the short term for the euro, which is about 61.8% of the entire fall that began at $1.40, and where further weaknesses should be resumed as planned.

Let's take a look...