EUR/USD – Technical Outlook

• After touching the lowest level since July 19 on Friday, EURUSD currency pair, recovered back to its previous important support, turned resistance, near 1.3180 – 1.3200 zone after disappointing August US jobs report raised uncertainty over the prospects of the Federal Reserve tapering its monthly bond purchases in September.
• On Monday, a Russian proposal on Syria reduced chances of US military action, adding further pressure for USD against EUR. EURUSD currency pair, on Monday, rose to 1.3280 before settling for the day at 1.3251.
• On Tuesday, EUR initially rose to 1.3275 against USD but is currently trading at 1.3253, off day’s high and little changed from Monday’s closing price.
• This 1.3270 – 1.3280 resistance zone, marked by 23.6% Fibonacci Retracement Level of the move from July low (1.2755) to August high (1.3452), seems to continue providing immediate resistance for the currency pair. This is likely to be followed by horizontal line resistance near 1.3340 – 1.3350 area.
• As has been repeatedly mentioned in previous reports, a decisively strength above 1.3300 important resistance might negate the short-term bearish outlook for the currency pair. Should the pair now manage to sustain above 1.3300 resistance zone, the pair is more likely heading back towards 1.3440 – 1.3460 resistance zone. Furthermore, should the pair appreciate beyond 1.3440 – 1.3460 zone hurdle, the pair could continue appreciating towards 1.3650 – 1.3700 zone.
• On the downside, 1.3200 zone might continue to act as important support for the currency pair.
• Should the pair now slip below 1.3200 strong support, the pair could easily drift below the 200-day SMA support near 1.3145 and even below 1.3100, the low touched on Sept. 6. The pair, then, might continue drifting lower towards a very important psychological round figure support at 1.3000 level.

Original Article: Admiral Markets and hyper link Admiral Markets with http://www.admiralmarkets.com/