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 (

fxtechstrategy.com

) -- Although the euro-dollar currency pair (EUR-USD) continues to hesitate following its strength last week, its recovery tone set from the 1.3837 level remains valid and intact.

This suggests that EUR-USD's present range-trading condition should eventually fade and that the currency pair should see strength toward 1.4578, its July 3 high, with a violation of that level allowing for more recovery gains toward 1.4696, the June 7 high.

Further out, the next upside target is 1.4938, the pair's 2011 high.

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The EUR-USD's daily relative strength index (RSI) is bullish and pointing higher, supporting this view.

Conversely, the risk to our analysis will be a return to 1.3837, where a decisive break will cause the pair to resume its short term weakness toward its March 6 low at 1.3751.

-- Written by Mohammed Isah

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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

The Professional Suite

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.