Yesterday EURUSD went back and forward with a narrow range but without any clear direction and closed in the middle of the daily range, in addition managed to close within Friday’s range, which suggests being clearly neutral, neither side is showing control.
The pair is trading below the 10, 50 and 200-day moving averages that should now act as dynamic resistances.
The key levels to watch are: A daily resistance at 1.1237, a daily support at 1.1097, the 200-day moving average at 1.1080 (resistance) and Fridays low at 1.0912 (support).
The EURUSD was indecisive yesterday. The bias is neutral in nearest term probably with a little bullish bias testing 1.1100 but key resistance remains around 1.1200 (daily EMA 200). Immediate support is seen around 1.0970. As long as stay below 1.1200 my overall technical bias remains bearish targeting 1.0700 this week. I will stand aside for now.
A calm day for the EUR/USD so far with price slightly above yesterday's level. The pair is now trading at 1.1092. Have in mind that we have important news scheduled for later today which might leave an impact on the EUR/USD.
On Tuesday, the dollar shows a decline against major currencies since the publication of positive US economic growth data for the first quarter contributed to an increase in demand for risky assets. EUR/USD rose 0.46% to 1.1077, rebounding from Friday's three-month low 1.0908.
On Tuesday's Asian session, there has been upward correction after yesterday's large-scale sales, as investors seized on news of fiscal incentives as a straw. In addition, we are likely to wait a long period of uncertainty before the formal procedure of Brexit begins.
Resistance zone is too wide - 1,1100-1,1200, and perhaps even slightly above 1.1200, but we are still waiting for the downward movement to 1.0800 on concerns about the existential crisis in Europe. From a tactical point of view, since the opening of trading on Monday resistance is near 1.1075/80.
EUR/USD maked slight increase on Tuesday session. The US dollar added 40 pips to a closing price of 1.1063 and the euro failed to recover the losses from Friday and depreciated further against the dollar. Resistance level during yesterday's session turned out to be 1.1111 and pair marked the intraday low at 1.1009. The outlook remains negative as possible recovery of the euro will resume the bearish sentiment.
The third estimate of US GDP in the first quarter was 1.1%, the value was revised from the preliminary 0.8%. Analysts had expected GDP growth of 1.0%. However, during the first three months of the year growth in consumer spending was revised down to 1.5% from 1.9%. Economists had forecast for an upward revision to 2.0%.
deresel posted: On Tuesday's Asian session, there has been upward correction after yesterday's large-scale sales, as investors seized on news of fiscal incentives as a straw. In addition, we are likely to wait a long period of uncertainty before the formal procedure of Brexit begins.
The first shock after Brexit passed, and now the EUR/USD shows restrained volatility; in fact, I'm surprised that at this stage the pair is trading near 1.1100 and not at 1.0800.
deresel posted: Resistance zone is too wide - 1,1100-1,1200, and perhaps even slightly above 1.1200, but we are still waiting for the downward movement to 1.0800 on concerns about the existential crisis in Europe. From a tactical point of view, since the opening of trading on Monday resistance is near 1.1075/80.
In my opinion the support levels are 1.0910, 1.0790 and 1.0710. The resistance is at 1.1090, 1.1185 and 1.1335.
Last Friday, bar nr. 16 broke out of congestion on the daily chart, and bar 17 stayed outside, meaning, there is no congestion on the daily chart anymore. However, the weekly chart is still in congestion, the current bar is nr. 14. Bar 14 opened outside of the confines of the measuring bar (MB). Historically seen, chances are that this weeks bar will close at or above the MB's low, which is at 1.1153 on our charts.
EUR/USD is trading higher today making a high of 1.1117. Although we saw positive US data, the Dollar bulls could not impact price behavior and the pair is now trading higher than pre-news time. First resistance is met at 1.1110 while first support remains the level of 1.1050.
The euro performed quite well against the UD dollar for third session in a row. The single currency pushed up with nearly 60 pips to a closing price of 1.1122, which is 110 pips higher since the beginning of the week. The upward movement reached 1.1129 and the intraday low was marked at 1.1048. First support is now located at 1.1090 and resistance is seen at 1.1185 and 1.1335.
The ECB will not rush with further easing of monetary policy, preferring to wait for actual evidence of an economic slowdown after Brexit before they take any steps. Regulator is glad to wait, given the lack of conclusive evidence of the actual impact on European economy, writes Reuters. Agency refers to a conversation with 'a dozen officials', familiar with the point of view of the ECB, without mentioning their names. Sources claim that the ECB found some confidence in the latter market rebound after the referendum. At this news the quotes of the single European currency hit session highs (1,111).
Yesterday EURUSD rose again with a narrow range and closed near the high of the day, in addition managed to close above previous day range, which suggests a strong bullish momentum.
The pair managed to close above the 200-day moving average that mow should act as a dynamic support but continues trading below the 10 and 50-day moving averages that are acting as dynamic resistances.
The key levels to watch are: A daily resistance at 1.1237, the 10-day moving average at 1.1200 (resistance), a daily support at 1.1097, the 200-day moving average at 1.1082 (support) and Fridays low at 1.0912 (support).
The pair is slowly and steadily rising and that movement to the upside has become a lot clearer since yesterday. There's still not a lot of volatility, but EUR/USD is likely climbing towards 1.1170 next.
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