Forexzilla.org

EUR/USD was underpinned yesterday by articles in FT, Washington Post and WSJ arguing that the market expectations for a FED hike are not realistic. Euro buying was replaced by selling after ECB’s Bini Smaghi said that one rate hike will be enough to tame the inflation in the Eurozone and the worse than expected ZEW. As a result of the conflicting factors the pair oscilated around 1.5500 without clear direction. The chart looks heavy to me and break below 1.5460/40 will open the downside towards the support levels @ 1.5280 and 1.5145. Resistance is 1.5550/90 (mix of highs and moving averages) and 1.5655.