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INTRA-DAY EUR/USD OUTLOOK

Last Update At 08 Jul 2011 06:04 GMT

Rate : 1.4345

Despite euro's brief dip to 1.4334 earlier, sub-
sequent rebound suggests consolidation with mild
upside bias remains for y'day's rally fm 1.4220 to
re-test NY high at 1.4375, nr term loss of momentum
wud cap price below 1.4395 n yield retreat.

Hold long with stop as indicated, break may risk
retrace. of y'day's rise fm 1.4220 to 1.4300/04.

Range Forecast
1.4330 / 1.4360

Resistance/Support
R: 1.4375/1.4395/1.4442
S: 1.4334/1.4304/1.4286

http://www.acetraderfx.com

Market Review - 07/07/2011 20:03 GMT

Euro rallies broadly as ECB suspends collateral rules for Portugal

The single currency rose strongly on Thursday across the board after European Central Bank President Jean-Claude Trichet said the central bank decided to suspend the application of the minimum credit rating threshold in the collateral requirements for Portugal until further notice at the ECB press conference following interest rate announcement. The ECB raised its widely expected lending rate to 1.50% from 1.25% to tame inflation pressure.

ECB President Trichet also said that we did not decide that we would have a series of interest rate increases and the further adjustment of the current accommodative ...

INTRA-DAY EUR/USD OUTLOOK

Last Update At 07 Jul 2011 05:52 GMT

Rate : 1.4315

Euro's present weakness due to dlr's broad-based
strength suggests recovery fm y'day's low at 1.4286
(NY) has ended earlier at 1.4347 n downside bias
remains for decline to obj. at 1.4300, below 1.4286
wud extend decline fm 1.4580 to 1.4267 later.

Trade fm short side n only abv 1.4347 wud risk
stronger retracement to 1.4355/60 b4 'down'.

Range Forecast
1.4300/ 1.4325

Resistance/Support
R: 1.4347/1.4355/1.4395
S: 1.4286/1.4267/1.4237

http://www.acetraderfx.com

Market Review - 06/07/2011 19:41 GMT

Euro falls to one-week low due to persistent fears of European debt crisis

Euro tumbled to a one-week low versus the dollar on Wednesday due to the escalating concerns on European debt crisis together with interest rates hike by the Chinese central bank, spurring demand for the greenback and the Swiss franc as safe-haven assets.

Despite ratcheting higher on minor short-covering to 1.4467 in European morning following the selloff to 1.4395 in the previous session, the widening of periphery bond yields gave euro bears extra ammunition to give euro another bashing, price penetrated said support easily and intra-day decline accelerated after the People's Bank ...