EUR/USD daily overview

업데이트됨

Lack of fundamentals on Friday resulted in the Euro trading sideways against the US Dollar. Its movement was guided by the 55-hour SMA until an upside breakout occurred early in the Asian session. This strong upside momentum began when the rate reversed from the monthly PP and the bottom boundary of a four-month channel near 1.2290.

Given that the Euro also surpassed the 100-hour SMA circa 1.2316, it might still push higher within this session. A possible upside target could be either the 23.60% Fibo retracement or the 200-hour SMA at 1.2380 and 1.24, respectively.

The testimony of the ECB President Draghi at 1400GMT could introduce some volatility in the market. In case downside risks prevail, a subsequent fall is not expected to exceed the 1.2280 mark.

노트

The common European currency was fluctuating around the 55– and 100-hour SMAs during the previous session. However, the general price movement has not changed since Monday morning.

As apparent on the chart, the price is still tended slightly upwards, as it is moving along the bottom line of a four-month channel up for the third consecutive session. Technical indicators flash mixed signals for today, suggesting that the current steady movement might prevail within the following hours, as well.

It is likely that volatility is introduced in the second part of the day is due to three sets of significant fundamentals published by the US during this time. A strong support could be provided by the 55– and 100-hour SMAs circa 1.2310, while gains should be capped near the weekly R1 at 1.24.

노트

As Jerome Powell's testimony's text was released on Tuesday, the US Dollar began its march of strength against the rest of the financial markets.

First target was reached upon the release of the testimony at 13:30 GMT, when the support line of the previously most dominant identified pattern on Dukascopy bank's hourly charts was touched.

However, the decline did not end there. As the head of the Fed spoke, the EUR/USD declined down to teh levels near the 1.2220 mark.

In regards to the future, from a technical perspective all previously notable supports are broken, and the 1.2150 mark might be reached next.

노트

After the review was published one of our analysts did some additional drawing.