 | |  | | EUR/USD has fallen more than 6 percent in the past month and is currently trading range bound, which we determined using Bollinger bands. Nearest support is at 1.3500, a psychologically significant number and area of closing prices over the past week. Should the pair continue to fall, significant support will be found at the 20-month low of 1.3362 reached on September 26 th . Looking up, nearest resistance is at 1.3800, which is psychologcially significant and where the 20-day simple moving average lies. Should the pair break through that level, heavy resistance will be found at 1.3965, the 38.2% Fib level. We drew our Fibonacci retracement from the high on May 4 th to the low on September 26 th .
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