Prices bounced from support at a rising trend line set from the June 1 low (now at 1.5870) after completing a bullish Piercing Line candlestick pattern.Near-term term resistance lines up in the 1.5951-1.6003 area, with a break above that targeting the channel top at 1.6056. Alternatively, a drop below support aims for the bottom of a falling channel established from late September at 1.5785.

Daily Chart - Created Using FXCM Marketscope 2.0

--- Written by Ilya Spivak, Currency Strategist for Dailyfx.com

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