EUR/USD: Pickup in Selling Pressure
EUR/USD significantly weakened yesterday, suggesting a pickup in selling pressures. A break of the hourly support at 1.3552 would open the way for a further decline towards the support at 1.3477. An hourly resistance stands at 1.3683 (see also the declining trendline).
Monitor the medium-term horizontal range between the support at 1.3477 and the resistance at 1.3739.
In the longer term, we favour a broad horizontal range between 1.3296 (07/11/2014 low) and 1.3893 (27/12/2013 high) with a bearish bias. As a result, a gradual decline towards the low of this range is favoured. A first key support is given by the 200 day moving average (around 1.3396).