Euro vs Dollar - Daily Candle Chart 9th September 2009

Euro vs Dollar - Daily Candle Chart 9th September 2009

Forex Technical Analysis

Euro vs dollar forex traders finally received the price action they have been craving for so long as the forex pair broke above the pennant formation which has been forming during August with a strong break higher to take the rate through the USD1.44 level at long last and closing the session just below USD1.45.  Technically the chart ended with a wide spread up bar which now clearly signals that we are in for a period of bullish momentum for the Euro and with our initial price target now having been achieved we can look towards the USD1.50 level once again.  The only area of resistance which may cause a temporary pullback is the upper boundary at USD1.4700 region but if this broken then we have a clear run back to USD1.50 and even as high as last year’s USD1.60.

Fundamental Forex Analysis

A surprisingly quiet day both for Europe and the US with very little fundamental news on the economic calendar with only German final CPI this morning in Europe which came in on target at 0.2%, the same as last time.  Owing to the Labor Day national holiday there are no crude oil inventory numbers due today and the only other item for the US is the Beige Book which is due for release at 19.00 GMT.

You can keep up to date with all the latest fundamental news on the economic calendar, latest currency news and live currency charts by simply following the links.  I have also included details on an excellent ECN broker.