The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.
NEW YORK (
) -- Although the euro is maintaining an upside bias against the U.S. dollar, it will have to break and hold above 1.3288 level to convince the market of further gains. This development if seen will leave the pair aiming at the Dec. 5 high of 1.3484.
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A violation of here will resume its uptrend and call for a push toward the Dec. 2 high at 1.3547, where a breach will target its weekly 200 exponential moving average at 1.3642. Its daily RSI is bullish and pointing higher supporting this view.
Alternatively, on any price failure, the pair will aim at the 1.3003 level, where a break will bring further declines toward 1.2975. On continued weakness, the pair will aim at the Jan. 25 low of 1.2930, with a cut through there allowing for further declines toward the 1.2879 level.
All in all, EUR continues to recover higher but remains vulnerable.
Mohammed Isah is a technical strategist and head of research at FXTechstrategy.com, a technical-research Web site. He has been trading and analyzing the foreign exchange market for the past seven years. He formerly traded stocks before crossing over to the forex market, where he worked for FXInstructor LLC as a technical analyst and head of research before joining FXTechstrategy.com. He has written extensively on the forex market and technical analysis and his articles have been featured in The Technical Analyst Magazine, The Forex Journal Magazine, The International Business Times and FXstreet.com. At FXTechstrategy.com, he writes daily, weekly and long-term technical commentaries on currencies and commodities, which are offered to its clients. He also produces
for his subscribers. He provides full coverage of the forex market with specific focus on G10 currencies as well as the commodities markets, with focus on five key commodities.