Because of the events in the Eurozone, EUR pairs might open with gaps this week and in case the gaps happen, they would harbinger great volatility in the markets for the rest of the week. EURUSD trended downwards in the beginning of last week, and later moved sideways till the end of the week. The bias is bearish and a bearish breakout is possible at the end of the current sideways movement. The possible breakout would happen when the support line at 1.1130 is broken to the downside as price goes further downwards to other support lines at 1.1075 and 1.098 -1.075. A movement above the resistance line at 1.1300 would render this expectation invalid.

By Theodoros  Batsoulis
Technical Analyst
Risk Market
www.riskmarket.co.uk