EURUSD pair has fallen to 1.3825 level from 1.4565 level this is about 500 pips fall so we are now bearish but looking at the daily time frame chart we see that price action is just above the 200 DMA and this may act as strong support for this down trend. Fundamentals has weaken for the EURO as Italy debt crisis has now emerged, so this can be the bad news for the market participants. So trading with the trend we are only looking for the selling opportunities as long as the pair remains below the 1.4115 level. Also keeping 200 DMA in mind we will go against the trend and buy EURO around 1.4005 for targets as 1.4045 and then 1.4075 zone in intraday trade. Even technical indicators are showing clear bearish trend picture. Also we advice traders to keep their stop loss with 1:2 risk reward ratio.
Our Recommendation for EURUSD : Today’s trading technical analysis (tips) for EUR/USD 13 July 2011, we recommend, enter long position (buy) in EURUSD above 1.4005 for target of 1.4045 and 1.4075 also place protective stop loss below 1.3985.