EUR-USD: Building on Recovery Strength

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-dollar currency pair (EUR-USD) closed only marginally higher the past week, it continues to hold its recovery tone that was set at 1.3144.

This leaves scope for further strength toward 1.3937, the pair's Sept. 15 low.

Further out, resistance stands at 1.4283, the pair's Sept. 6 high, and at 1.4498.

EUR-USD's weekly relative strength index (RSI) is bullish and pointing higher, suggesting further strength.

Alternatively, the risk to our upside view will be a return to the euro-dollar's Sept. 28 high at 1.3690 and its Oct. 18 low at 1.3650.

We may see a reversal of roles as support at the latter level turn the euro-dollar currency pair higher, but if that level is taken out, risk will build toward 1.3377, the Oct. 10 low, and then 1.3144.

All in all, EUR-USD continues to build on its recovery strength started from the 1.3144 level.

-- Written by Mohammed Isah.

>To contact the staff member responsible for this article, click here: Ross Snel.

>To follow the writer on Twitter, go to

>To submit a news tip, send an email to:
Mohammed Isah is a technical strategist and head of research at, 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 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 At, 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.