Fri, 03 Dec 2010 01:14:00 +0100

Frex: EUR/USD settles above 1.3200

FXstreet.com (Barcelona) - Euro recovery supported by rising risk appetite, send the pair to as high as 1.3247 this Thursday, as stocks and commodities rose strongly across the board. In Asia, EUR/USD had null movements so far, unchanged at 1.3220

The ECB has abandoned its plans to wind down emergency support for banks and government debt markets, responding to concerns that an early exit from such programs could jeopardize the euro currency, sending Euro to 1.3060, before US opening sent the pair almost 200 pips higher.

According to Valeria Bednarik, Chief Analyst at FXstreet.com: “Hourly chart shows price action quite limited to a range, ahead of US Payrolls early Friday; indicators are heading lower still above their midlines, yet market sentiment will likely keep the upward pressure intact”.

“Above 1.3250 daily high next strong resistance comes around 1.3290, 38.2% retracement of last daily fall; weekly close above 1.3300, should favor a stronger recovery in the common currency.

Support levels: 1.3160 1.3120 1.3060, Resistance levels:  1.3245 1.3290 1.3350

Technical Analysis (2010-12-03 00:00 GMT)
EUR/USD 1.3214/1.3215 - O: 1.3281 H: 1.3292 L: 1.3273 C: 1.3277
Trend	R3: 1.3284
	R2: 1.3251
	R1: 1.3218
	S1: 1.3145
	S2: 1.3178
	S3: 1.3212