Eur/Usd looking bearish going into German ZEW

Written March 16, 2010 at 4:09 AM EST by  

Eur/Usd has methodically given back gains from March 12 high of 1.3796. Amid fears that Moody may downgrade German, French and Spanish AAA rating Euro has traded down to 1.3640 on March 15th, below its 200 hour M/A, but has not cleanly broke through.

Early in today’s session the pair was trading above the 100 hour M/A of 1.3681, but had met resistance at 1.3699, the 38.2% Fibo. In recent trading it appears to have broken below and now flirts with the 200 hour at 1.3651. Any negative outlook from the  German ZEW Economic Sentiment which comes out at 6:00 EST may give the pair the momentum to trade below 1.3640 going into early U.S trading.

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