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Forex4you Technical Analysis 02 Jan 2011

EUR/USD: Technical Analysis
 
The EUR/USD is consolidating at the lows which might indicate a correction in prices. Wave analysis points to the possible completion of a cycle at the current lows and a rebound possible. Strong momentum convergences and an inverted H&S on RSI also indicate there may be a bounce, and 1.3000 provides the first target. The overall trend is still down, however, and it could resume at any time and if there is a break down it could target support in the 1.26s initially.
 
 
Analysis by: Joaquin Monfort
             Forex4you analyst
 
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