FX.co ★ Wave analysis of the EUR/USD currency pair for December 9, 2009

The EUR/USD currency pair has moved on the US dollar strengthening direction. Likely, the fixation of profit/losses is affecting the stock markets ahead coming holidays. The price change dynamics is rather impressing. It seems that the first package of five waves has already formed 1 wave (or A) and 2 wave (or B) in such impulsive pace. The euro decline is continuing and it is too early to talk about its possible targets. But still, the low line of the upward trend (located nearly at the level of 1.4630 today) can offer significant resistance in attempting to bear it down. The long-felt probability of rebound is also confirmed by stochastic location with its strong enough overbought.

Best regards,

analyst: Alexander Dneprovskiy.