EUR/USD

EUR/USD reaches strong support area formed by the 50 & 200 day moving averages. 1.3050 is the level where 200 day moving average and the lower boundary of the upward trend channel meet. Since we have seen 50 & 200 day moving average crossover in December 2012, this is the first sharp pullback to the support zone formed by the two moving averages. If we see cross rate holding above 1.3050 levels in the following days we will put an intermediate term low and expect a rebound towards 1.33-1.35 area. Breakdown below the 200 day average will change the bullish outlook on this chart.