Its doing what?

Hi and welcome to our blog, and our EUR/USD brief

Well last week ended with an extended run up on the Euro, as the market consumed varying news.

Context
After a solid rally to end the week we will wait and see what hints we get on direction this morning.
Technical Analysis

We currently have daily and weekly pivot over laying each other just to he south of Monthly pivot. When Daily and Weekly are together they normally act as a strong magnet, but with monthly pivot and support to be broken im not sure a pivot test is certain today.
The 4H has higher highs and higher lows, but it has just put in a high test at the top of the channel and now looks to be in search of a support level.

The Day Ahead –
The 1.2330 support level is he key today. A test of this level and amonthly Pivot is likely and if the levels hold it will be the most bullish sign on the Euro for some months. A break of the level does openb up a test of DP>
Bias- My overall bias is still short, I am still sure traders looking up to sell the peaks….
NO TRADE: I won’t trade between monthly and daily pivot.
Short entry: We would need a break and retest if DP.
Long Entry: Looking for a bounce off the 1.2330 area.

 RED News Today GMT
Aug 6
 2:00pm     USD     Fed Chairman Bernanke Speaks
All the best
PBT