EUR/USD has declined sharply from its high at 1.3417. The current bounce near the support at 1.3178 is expected to be capped by the resistance at 1.3302. An hourly resistance is at 1.3268 (intraday high). Another support can be found at 1.3042.
In the medium-term, the recent price action from 1.2746 (04/04/2013 low) is viewed as a corrective phase within a larger downtrend. The high at 1.3417 (19/06/2013 high) following Bernanke's comments is likely a significant top. Indeed, given the short-term overbought conditions, a new bearish phase is likely underway.
Daily Technical Report
