Prices pulled back to support at 1.0410, the 23.6% Fibonacci expansion, after putting in a Shooting Star candlestick below resistance at a falling trend line set from late-July 2011 (a barrier reinforced by the 38.2% level at 1.0560). Continued selling initially targets the 14.6% Fib at 1.0318. Alternatively, a break above resistance targets the 50% expansion at 1.0682.
Daily Chart - Created Using FXCM Marketscope 2.0
--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com
To contact Ilya, e-mail firstname.lastname@example.org. Follow Ilya on Twitter at @IlyaSpivak
To be added to Ilya's e-mail distribution list, send a note with subject line "Distribution List" to email@example.com