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Forex Market Analysis – Eurusd on Harmonic Move

Forex Market Analysis – Eurusd on Harmonic Move

Harmonic Move which ends, at that point there’s previous support and resistance with a lot of Fibonacci confluence such as the Golden Fib 1.618 additionally the 1.272 the 1.414 , 1.13 which is a minor fib and finally there’s a Fibonacci retracement and the ratio which is in the kill zone is the 88.60 which is another minor fib. there’s also previous structure support on the Daily Chart but it’s in the 2000. only enter by going down to the lower time frame such as the 15Min and there’s a double bottom another reason for entry is that they’re also 2 advance patterns that are also completing on this level loo look at next published Chart.

Forex Market Analysis

In Other View Point – Bullish Gartley Pattern EURUSD 15 Minute – Journal 018

2 entries @ 1.03894 given gartley completion (1 unit per entry) Stop losses ar placed at bottom of XA leg presently experimenting with profit stops, trying 0.618 fib. retracement of CD leg and top of XA leg as profit stops for gartley patterns.

Forex Market Analysis

In Another View Point – EURUSD is breaking down

Since 2015 Q1, the EURUSD was in a rectangular consolidation mode for 92 weeks. EURUSD is already broken below 2015 March low 1.0465. currently investor should ask a question himself if this breakout is a real or false breakout? a real breakout means it’s going to go downside for the coming 2-3 months, it is time to short EURUSD. with measured target 1.03 and 1.0 and ultimate target 0.86. a real breakout shouldn’t pass 1.09 so the stop loss will be 1.09.

Forex Market Analysis

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Mohammad Riad

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  • EUR/USD Fundamental Analysis: December 28, 2016

    The EUR/USD is still experiencing a tight-lipped trading range after trading within 30 pips. The market liquidity is not expected to increase until next year since there are no signs of currency flows as of late. However, the new year is expected to bring back market liquidity since this signals the end of the holiday season. The EUR/USD had high trading ranges during the North American session yesterday, where it attempted to go beyond 1.0470 points in order to reach 1.0530 points. Meanwhile, the USD exhibited a marked weakness during these past few sessions, particularly against the EUR. This trend is expected to remain for the rest of the week as the market attempts to remove some of the bearishness of other currencies against the USD. The USD’s strength is expected to bounce back next week, and it is therefore vital that the euro bulls would be able to take hold of this opportunity and accomplish all moves in order to avoid the adverse effects of the USD regaining its strength.

    There are no major economic data releases expected from the international community for today’s sessions, and this means that added consolidation and ranging could possibly be felt as there are no currency flows which could be a catalyst for added market volatility. As such, traders are advised to tread lightly and remain within the sidelines for this particular period.

  • EUR/USD Fundamental Analysis: December 29, 2016

    The EUR/USD pair became somewhat active during the previous trading session after a lackluster performance during the past few days, and this is especially good news for traders who are waiting for any sign of market activity since the holiday season has caused the market liquidity to diminish. The currency pair was able to go beyond its daily price range of 30-40 pips, and the USD’s recent price surge has caused the EUR/USD pair to plummet below 1.0400 points and even reached 1.0360 points. However, the negative pending home sales data from the US has caused the currency pair to go back above 1.0400 points.

    As the new year starts and the holiday season comes to an end, the market’s volatility and liquidity is expected to return, and liquidity levels could possibly go higher. However, the strength of the US dollar is not expected to be stalled anytime soon, and government leaders from both the UK and the European Union are now preparing for the onslaught of the Brexit process next year, which is expected to be very tedious for both regions. On the other hand, Germany will also be holding its elections next year, and the market will be closely monitoring Merkel’s performance before and during the elections. However, until such time that these things happen, market players should first monitor just how long will the USD be able to maintain its recent strong stance. For the EUR/USD pair, the currency pair is expected to consolidate with a bullish undertone as the market adjusts to the very disappointing pending home sales data from the US.

  • EUR/USD Fundamental Analysis: January 4, 2017

    As the market’s overall volatility and liquidity returned yesterday following the holiday season, the USD once again exhibited its strength across the board. The strength of the currency was further augmented by the strong economic data which was released from the US. The US Manufacturing PMI data came in yesterday and showed a positive reading of 54.7, which just evident of the US economy’s recently positive economic data. If the nation continues to clock in positive economic sentiments, then this could further cement the chances of more frequent rate hikes from the Federal Reserve this year, and could also lead to faster hike pricing as well.

    As a result, the EUR/USD pair plummeted through 1.0400 points and even surpassed its monthly lows last December for a short duration but eventually recovered during the opening of the European trading session and is currently hovering within the 1.0400 trading range. Market players are expecting the USD’s strength to be felt across the market for today, and if the EUR/USD could manage to break through 1.0400 points, then this could lead to the pair going lower further and possibly reaching 1.0300 points.

    For today’s session, there are no major economic data coming from both the European Union and US and the market is most likely to be dominated by the onslaught of the returning of traders into the market, and any reversion in the EUR/USD should be seen by trades as a short-term opportunity.

  • EUR/USD Technical Analysis: January 5, 2017

    The positive data from the Euro zone supported the single European currency which further strengthened versus its US peer. Based on the EU statistical data, the inflation rate of the European countries is fast growing. While the favorable Markit Services and Composite PMIs of France and Germany further reinforced the EUR.

    Technically, the major pair maintained a mid-term downward channel within a lower boundary. However, the 4-hour chart showed a limited upside potential. The Fiber reversed some of its losses during the trades on Wednesday. The buyers drove the prices towards the 1.0450 level where an upward impetus gradually disappear in the middle session of the EU hours. After reaching the aforesaid level, euro return on its recent region where it stayed.

    The 50-EMA is in a neutral position and have been tested by the price in the mentioned time frame accordingly, while the 200 and 100-EMAs headed downwards.

    The EUR/USD hovered under the moving averages as the level of resistance touched the 1.0450 and support entered at 1.0400.

    The MACD histogram increased which indicated a weak position for sellers. RSI moved in the neutral zone and departed from the oversold area.

    As it was mentioned in the forecast, the EUR is expected to kept intact in the pressured area but recovered the 1.0500 barrier. Buyers are able to lead the pair towards 1.0550. A break down from the 1.0400 handle will cause weakness for the EURUSD as well. The initial target of the sellers is 1.0350.

  • EUR/USD Fundamental Analysis: January 9, 2017

    The EUR/USD pair traded in a muted fashion and exhibited ranging and consolidation after falling slightly from its original value following the release of the NFP report as well as US earnings report last Friday. The NFP report fell somewhat short of its initial market expectations. However, the US wage earnings increased significantly, thereby compelling the market to shift its focus instead on the wage earnings data.

    The January report for the average wages data has spelled good news for the market, since it generally shows that more and more people are now able to sustain themselves, and would still be able to do so even if the Federal Reserve chooses to again increase its interest rates as needed. This has caused the USD to regain its losses, with the EUR/USD pair losing its ability to maintain its stance over 1.0600 points and has since then went below 1.0550, where it is still currently situated. Analysts are speculating that the strength of the USD would continue to surge for today’s trading session.

    There are no major economic news releases expected from both the US and the European Union for today, and this means that the current market trends are expected to continue dominating the economy for today. The USD is expected to continue storming through the EUR/USD pair’s trading activity for today, even though this particular currency has exhibited unwavering strength over the past few days. This currency is expected to remain subjected to downward pressure for the rest of today’s session, and this could possibly induce the pair’s direction to move towards 1.0500 points.

  • EUR/USD Fundamental Analysis: January 10, 2017

    The EUR/USD pair exhibited bullish stances during yesterday’s trading session. The US has recently released its average wages data as well as its employment reports data, both of which turned out to be highly satisfactory particularly for investors. This set of data has then set the tone for the market’s movements this week. The USD has increased significantly in value as opposed to the EUR, but the EUR/USD pair was able to counter this movement and instead consolidated during the Tokyo and European trading sessions. The currency pair was able to break through 1.0580 from 1.0520 during the North American session before finally settling just below 1.0600 points.

    The USD received little support from comments from Fed officials yesterday, which turned out to be hawkish. The currency pair is now back to trading near its weekly highs last week, a crucial position for both the USD and the EUR. The dollar will most likely be able to regain its strength if the EUR/USD experiences a breakdown. However, if the EUR is able to go beyond 1.0600 and possibly reach 1.0650 points, then the euro could increase in value, thereby putting the US dollar in negative territory. A number of large-scale banks and hedge funds are expecting the USD to regain its strength anytime soon since the fundamentals are all pointing towards a higher value for the USD. However, the dollar bulls must be able to obtain the right timing in order for the USD to strengthen further.

    Today’s trading session is most likely to be dominated by the recent market trends as there are no major news releases expected from both the US and the European Union. The pricing of the USD is closely monitored by the market since this could be a catalyst on whether the stock market will be pushing through their bullish direction or consolidate instead.

  • EUR/USD Technical Analysis: January 16, 2017

    The release of economic data from the US last Friday lended some much needed support for the US dollar. The retail sales data dropped in value and failed to meet market expectations, while the data for the Producer Price Index came out on a highly positive note and exceeded market expectations. Meanwhile, the EUR continued to incur losses in spite of upbeat data coming from the European Union, such as the German Wholesale Price Index as well as the Spanish Consumer Price Index.

    The euro tried climbing up during Friday’s session but was able to regain its upward bias during the Tokyo session after euro sellers encountered a price barrier at 1.0600 which then caused the EUR to drop in value. As the London session commenced, the EUR/USD pair rose and hit 1.0650 points, with the euro regaining all of its previous losses during the opening of the North American trading session. The price of the currency pair continued its climb and exceeded its moving averages as seen in the 4-hour chart. The 50 and 100 EMAs are currently pointing in an upward direction, while the 200 EMA stayed within neutral territory. Support levels for the EUR/USD are projected to be at 1.0600, while resistance levels are expected to be at 1.0650 points.

    If the EUR/USD pair is unable to exceed 1.0650, then this could cause selling interest for the pair to return. However, if the pair drops and breaks through 1.0600 points, then traders are advised to monitor 1.0550 and 1.0500 points. The EUR/USD will only be able to recover if it is able to sustain its stance at 1.0650 points.

  • EUR/USD Fundamental Analysis: January 17, 2017

    The EUR/USD pair traded weakly during the previous trading session with the weak euro having more effect on the currency pair than the recent dollar weakness. The international economy is now very concerned with UK’s hard Brexit process, since this could spell disaster not only for UK but also for countries within the eurozone. Although the hard Brexit could have less negative effects for the UK, this could instead affect EU countries since most of them are doing business with UK, and the removal of a free trade zone with UK and the rest of the EU could become very disastrous for a lot of EU countries.

    This was one of the reasons why the EUR/USD pair corrected largely during yesterday’s session and plummeted down to 1.0600 points yesterday and even went lower for some time. The currency pair could have experienced much larger corrections if not for the US bank holiday yesterday.

    For today’s trading session, there are no important economic data coming from the eurozone but Theresa May will be speaking during the New York session with regards to the guidelines of the expected hard Brexit. May’s speech could have a negative effect on the value of the euro and traders are expected to take extra caution when it comes to trading with this particular currency pair.

  • EUR/USD Fundamental Analysis: January 18, 2017

    The EUR received a much-needed boost from yesterday’s trading events, wherein the USD plummeted and weakened while the sterling pound regained its previous losses across the board. This has then caused the EUR/USD pair to break through the 1.0600 barrier after quite a time and even went up as high as 1.0700 points, where it traded momentarily before settling just below 1.0700 points.

    In spite of the fact that Theresa May has indeed announced that the UK is headed for a hard Brexit process, the concerns surrounding this particular occurrence have somewhat diminished, prompting investors to pull out from the USD and onto high-risk areas such as the stock market. The US dollar has since then weakened, and the clarity of the Brexit process has helped in pushing the euro higher. Although the hard Brexit would most probably have an adverse effect on eurozone trades, the renewed clarity of the process has helped placate investors and has created upward support for the EUR/USD pair. The currency pair is now seen to possibly reach the 1.0850 trading region.

    There are no major economic readings set to be released today from the eurozone, but the US will be releasing its Core CPI and CPI data during the New York session, and these will be closely monitored by investors since a string of good economic data could increase the chances of a Fed rate hike in the near future.

  • EUR/USD Technical Analysis: January 19, 2017

    The American dollar was able to rub out its losses versus the euro prior to the speech of Yellen yesterday. The greens further acquired some support from the consumer price index of U.S which met the expectations of investors. Moreover, the decision of the ECB about its interest rate will be announced later this day.

    The market structure remained to be bullish on Wednesday. The single European currency executed an upside impulse and return from its weekly high towards 1.0716.
    The ongoing rebound is deemed to be corrective during the profit-taking behind the current rally. The EUR/USD retreated under the 1.0700 level amid morning trades on Wednesday and it hovered throughout the level as the EU session took place.

    The 4-hour chart shows the price resumed its advancement on top of the moving averages. The 100 and 50-EMAs continued to be bullish while 200-EMA stayed on the neutral position shown in the same time chart. Resistance sits at 1.0700, support lies at 1.0650 region.
    The MACD histogram falls which indicate weak position of the buyers. The RSI oscillator kept around the overvalued territory.

    The pair is expected to moved near the immediate support 1.0650. In case the level breaks, the support will return to 1.0600. However, the EUR will receive short-term support as much as 1.0500 remained intact.

  • EUR/USD Fundamental Analysis: January 23, 2017

    The EUR/USD increased for the past few days following the sluggish stance of the greenbacks. The single European dollar benefited from the position of the greens as it climbs to 1.0700 and further extended its gains. The USD weakened with no definite reason as others deemed for the general correction while some claimed it’s all because of the skepticism for Trump’s administration. However, the American currency is clearly at a disadvantage point against the euro.

    The EUR is relatively buoyant for the previous week, much more when its U.S peer manifested some strength. The euro continued to bounce back from a limited correction and eventually broke the 1.0700 level, en route 1.0840 region.

    There are some issues that the weakness are caused by the speech of Trump coupled with the curtailment for the rest of Obamacare. Moreover, there exist a general risk about the US President’s team and their plans and these uncertainties weighed on the USD.

    As the last week of January enters, the economic news is lessened while the upcoming is a beginning for the USD towards an unidentified state which brings higher volatility.

    The US and Euroregion do not have major reports to be released for today, what we expect is the continuous fall of the greens.

  • EUR/USD Fundamental Analysis: February 3, 2017

    The EUR/USD pair has been subject to a lot of messy trading activity during the past trading sessions as the pair had no definite direction and generally exhibited an uncertain trading stance. The currency pair has been vainly trying to break through the 1.0800 trading range and briefly made it through this barrier and even reached up to 1.0828 points but eventually reverted back to its original stance after a massive sell-off met the pair, causing it to fall back to 1.0800 and even went as low as just over 1.0760 points.

    Today is the scheduled release date of the NFP report from the US, and the market volatility is expected to surge as this particular report is one of the major economic reports anticipated by the markets every month. The NFP report now is even more crucial than ever, because the Fed has previously stated that the central bank will be relying on positive economic data as basis for whether they will be hiking interest rates in the future or otherwise. In addition, the release of the NFP report is equally important to restore investor and trader confidence in the USD, especially since the past few days has seen the dollar subject to more weakness as Trump drew negative comments from his recently implemented foreign policies such as the immigration ban. This is one of the reasons why the general direction of the EUR/USD remains uncertain since the market wants first to confirm the results of the NFP report before making any concrete moves.

    For today’s session, US will be releasing its NFP report as well as the non-manufacturing PMI data and average wage earnings data. Investors are hoping that these economic data comes out as positive in order to induce some strength in the ever-weakening stance of the US dollar.

  • EUR/USD Fundamental Analysis: February 6, 2017

    The EUR/USD pair will undergo pressure this week. Moreover, the NFP report was positive as the average earnings positioned at 0.1% lower than the expected 0.3%. When at first, it is expected for the bulls to take over the market but the trend doesn’t have enough momentum bringing the price towards the 1.0800 as a resistance level which was the prior region. The greenback is being swayed because of the uncertainty from Trump and his team to change the policies and cannot be determined the next move of Euro.

    The current psychological level at 1.0800 is a significant region and a break in this region could further bring the price towards the 1.12 mark which has been the region for some time last week. The market is trying to break the EUR/USD in the midst of the weakened dollar. At the same time, the market aims to stabilize the current rates but there were not enough support from the administration and economic policy changes and the reports of the economic data.

    Although, a majority of the support for the currency supported from the economic data or the administration and at the same time influence the next Fed rate hike. However, it seems that the wage earnings reports are on the lows which could delay the rate hike process. This would put more pressure to the dollar today and this whole week and it is still uncertain until when the dollar rates would hold.

    As for today, there will be no major economic news from the Euro or from U.S. regions. It is expected for the price to EUR/USD to remain in consolidation with a bullish bias with chances of a breakout near the 1.0800 level.

  • EUR/USD Fundamental Analysis: February 8, 2017

    The market has been experiencing a lot of volatility recently due to the pronounced weakness of most major currencies, with traders having a hard time picking out definite directions, with profits going from positive to negative in just a matter of minutes. During yesterday’s session, the USD was able to regain the majority of losses against the EUR, with the EUR/USD pair falling down to 1.0700 points. For a brief moment it looked like that this particular stance of the currency pair would remain standing and would eventually become overpowered by the dollar’s strength but the following day saw the dollar losing its ground and dropping back to its previous lows. There is basically a surrounding fear and marked uncertainty felt within the market right now that all currencies are very weak, which has resulted in this very rare price action.

    There are no major news data expected to be released from either the European Union or the US today, and this means more ranging and consolidation activity for the EUR/USD pair. This is generally okay for day traders but could spell disaster for long-term traders as they become hard pressed to find direction in this very chaotic market environment.

  • EUR/USD Fundamental Analysis: February 9, 2017

    The EUR/USD pair failed to make significant progress during the previous trading session and merely continued its current trend of ranging and consolidation and still failed to find a definite direction and was still unable to capitalize on the USD’s marked weakness. The currency pair has been finding difficulty with regards to breaking through the 1.0705 barrier, which has boded well for the US dollar in spite of its lack of progress. Under wholly different circumstances, this particular situation might have caused the dollar to undergo massive corrections but since other other major currencies have been trading on the weaker side of the chart as well, the USD has only managed to keep itself floating amidst the market weakness.

    For the past few trading sessions, the euro has been consistently exhibiting a weak trading stance, which was mostly due to various uncertainties and concerns surrounding the European Union. There are now a lot of rumors swirling around whether the EU would still exist after a few years and whether the Brexit phenomenon would be repeated by other countries who would wish to leave the EU. Although a lot of eurozone leaders have attempted to pacify these rumors, this has nonetheless left an effect on the state of the EUR. The forthcoming French and German elections is also a cause of concern for the market since there are strong contenders who are in favor of leaving the union should they win the said elections. All of these factors are putting constant downward pressure on the euro, therefore preventing the currency to make any substantial progress.

    US will be releasing its unemployment claims data today and some Fed officials are due to make statements at various forums, and these events are expected to induce volatility in an otherwise very docile currency market.

  • EUR/USD Technical Analysis: February 13, 2017

    Non-Farm Payrolls in France came in positive but the single European currency ignored these strong data. The euro was kept intact in the pressured area on the back of the increasing political instability relative to France’s Presidential election. Moreover, the imminent vote-casting within Germany, Italy, and Netherlands brought added pressure against the EUR. Meanwhile, the US dollar demand was supported by the tax reform proposal by Trump.

    The greenbacks further strengthened on Friday while the euro weakened after a clear recovery at night amid EU session.

    Traders surpass the 1.0650 level and drove the price downwards during the New York trades. The EUR/USD pushed the 200-day moving averages as shown in the 4-hour chart. The 100 and 50-EMAs were bearish-neutral while 200-EMA manifested a bullish bias in the aforesaid timeframe. Resistance is seen at 1.0650 region, support touched 1.0600 handle.
    MACD indicator softened implying a sell signal. RSI is confined in the oversold territory, indicating a downtrend. Another lower movement is expected, reaching the 1.0600 mark. A close below the support region is possible to provide further weakening through 1.0550.

  • GBP/USD Technical Analysis: February 13, 2017

    The figures for the United Kingdom Industrial Production exceeded the expected results which further give a temporary support for the British currency. Nevertheless, the recovery of the greens is wide-ranging causing the GBPUSD to conduct a reversal.

    The sterling preserved its neutral stance amid Asian session on Friday. The spot hovered on top of 1.2500 close to the handle.

    Traders were able to surpass the region after the EU hours and continued to push the spot through 1.2450 area.

    The 4-hour chart presented that the price drove 100 and 50-EMAs towards a lower point. The 50 and 200-EMAs seem neutral while the 100-day moving averages descended as seen in the aforesaid chart. Resistance touched 1.2500 mark, support lies at 1.2400.

    MACD is placed in the centerline. An entry within the positive zone will provide added strength for the buyers while an attempt towards the negative territory will allow sellers to take over the market. The RSI stayed in the neutral region. Either a move lower than 1.2500 would help produce an opportunity to test 1.2400.

  • EUR/USD Fundamental Analysis: February 14, 2017

    The strength of the USD is now felt more than ever in the market, and this has caused other major currencies to experience the negative effects of the surge in the dollar’s value. For the EUR/USD pair, the currency pair has dropped to 1.0600 points and was only able to prevent itself from further decreasing due to its support barrier of 1.0580 points. However, the pair’s price activity looks very dismal and it is uncertain how long the bulls would be able to keep its hold on the pair before the bears manage to seize control and push the pair further downward. If this happens, then this could spell disaster for the euro.

    The market is now able to fully adjust to Trump’s policies after an initial unrest caused by his team’s adjustments to certain regulations, with the market now sure of the administration’s approach with regards to policies, thereby improving investor confidence in the US dollar. This has helped to shift the market’s focus from the Fed’s future moves and Trump’s future implementations as well, and this has further helped to support the USD especially now that the Federal Reserve is keen on sticking to its statement that there will be a total of three interest rate hikes for this year.

    The US will be releasing its PPI data today, and Fed chair Yellen will be making statements with regards to the central bank’s monetary policies during today’s speech in the New York session. The market will be monitoring Yellen’s speech later today and if Yellen becomes consistently bullish in her remarks, then the euro could be in for more price drops.

  • EUR/USD Technical Analysis: February 20, 2017

    The U.S. dollar weakened on Friday despite the light market caused by the federal holiday, US President’s Day. Investor’s attention was drawn towards the nation’s current political condition while expecting for the final resolution regarding the financial assistance to Greece.

    The upward trajectory weakened on Friday. The single European currency failed to break the 1.0680 region and reverse.

    During the Asian hours, the market is relatively quiet and exhibit further agility amid EU session. The demand for the greens was brought by some European traders which drove the spot downwards. The EUR steeply declined and tested 1.0650 mark during the post opening of EU trades. The aforesaid mark stalled the sellers’ action, therefore, rejected the EURUSD higher.

    The pair surpasses the 200-EMA lower, rebounded the 100-EMA and tested the 50-EMA.

    Moreover, the 100 and 50-EMAs headed downwards and the 200-day moving averages appeared to be bullish-neutral. Resistance lies at 1.0700, support is seen at 1.0650.

    The MACD indicator plunged to the positive territory and if it hovered within that area, the position of the buyers will reinforce. RSI is confined in the overvalued zone, favoring another downward trend.

    The major struggled to proceed upwards. A break under 1.0600 region would consider further instability to 1.0550. Should the level jump up would signal an opportunity to buy on a dip.

  • EUR/USD Fundamental Analysis: February 20, 2017

    The EUR/USD pair was subject to some nice amounts of volatility during the past week after the currency pair was mainly influenced by the dollar strength during the first half of the week, but immediately went into reversal as the latter part of the week started. The currency pair is now expected to consolidate with a bullish undertone for this week, with projected support levels at 1.0500 points and resistance levels expected to be at 1.0800 points.

    Last week, the EUR/USD finally looked like it turned for the better as the currency pair made a steady march towards 1.0500 after breaking through 1.0600 after a foreshadowing of a long-awaited dollar uptrend. This was also further supported by Yellen’s confirmation that the Fed will be implementing another rate hike this coming March. However, the effect of this positive news was offset by the release of the CPI data which showed weak wages data in spite of the overall data being highly positive. This turned out to be unappealing for the dollar bulls and caused the USD’s strength to die down, causing the pair to end at just over 1.0600 points.

    For this week, there will be a US market holiday and there are no expected data to come out from both the EU and the US for the week. The EUR/USD pair will most likely continue its current trend of ranging and consolidating for this week.

  • EUR/USD Technical Analysis: February 23, 2017

    The rising concerns regarding France presidential elections and increasing rate hike expectations of the Fed scheduled in March caused the European currency to remain under the pressured area. Meanwhile, the Business Climate of Germany showed positive figures exceeding its expectations in spite of the bias forecast.

    The common currency reversed few of its losses during the Asian hours on Wednesday. The EURUSD highlighted 1.0550 level but the selling pressure within EUR kept intact and drove the spot towards its fresh lows.

    The rebounded the 1.0550 and declined to 1.0500 amid EU morning trades. The 4-hour chart showed that the 100-EMA tested the 200-EMA. While the 100 and 50-EMAs preserved a bearish sentiment and on the other hand, 200-EMA is neutral. The price extended its development under the moving averages. Resistance settled around 1.0550, support approached the 1.0500 area. MACD indicator softened which confirmed strength for the sellers. RSI consolidated near the negative territory.

    A break under the mark 1.0500 will generate another lower support. A move below the handle 1.0500 would recover a bearish slope at 1.0450 region.

  • EUR/USD Technical Analysis: February 27, 2017

    The EURUSD pair strengthened versus the sluggish U.S dollar. The greenbacks were kept below the pressured area during the mid-week of trading following the FOMC minutes and the comments made by Finance Minister Steven Mnuchin regarding tax reform.

    The growth gained by the pair did not help the major and further hovered around the descending channel. The buyers lead the price towards its upper limit. The recovery sustained overnight tried to move in the underside of the 1.0600 hurdle during the morning trades of the EU session.

    The upside of the pair lost its steam in searching for renewed offers within the level. Buyers attempted to make a gap on top of 1.0600 prior the opening of the New York trades. Moreover, the price surpassed the 50-EMA and continued to stay over the moving averages as outlined in the 4-hour chart. The 100-EMA carried a downward crossover through the 200-EMA. The 50 and 100-EMAs headed lower and the 200-EMA bounced along the neutral zone.
    Resistance is at 1.0650 region, support settled in the 1.0600 mark. The MACD histogram acquired growth which signaled weak stance of the sellers. RSI is considered neutral.

    A trend above the 1.0600 range indicates support buyers in sending the market through 1.0630 – 1.0650. Likewise, a return to the 1.0550 mark may open doors to move near 1.0500.

  • EUR/USD Fundamental Analysis: February 28, 2017

    The market saw a very dismal durable goods data reading while Trump continues to further delay his long-awaited tax cut policies, thereby contributing to the further dwindling of the value of the US dollar. As a reaction to this particular phenomenon, the EUR/USD pair was able to reach 1.0630 points in a matter of a few hours and seems poised to move further.

    However, the US dollar suddenly reverted its losses for no apparent reason at all and this caused the EUR/USD to drop further to 1.0600 before settling at just over 1.0580 points. Some market analysts are crediting this sudden surge in the dollar’s value to Trump’s previous statements regarding the infrastructure increases, a favorite campaign topic of Trump during his candidacy. Previously, there have been rumors swirling around that this infrastructure policies would not come into effect until 2018, but since Trump has already re-discussed this particular proposal, the market has since then been speculating that the increase might be implemented within the year which could help in keeping the buoyancy of the market. The USD has been able to revert its losses as a result but the real determinant here would be the rate statement next month as well as the FOMC rates.

    Now that the market is slowly shifting its focus from Trump’s policies towards the move of the Federal Reserve, it is highly likely that the market’s movements will be relying on the Fed’s decision on when they will be implementing the next rate hike.

    There are no major releases coming from the eurozone today but the US will be releasing its consumer spending data as well as its Preliminary GDP data today which could bring in added volatility to the USD and affect the EUR/USD pair. The currency pair is expected to continue consolidating with bullish undertones for today.

  • EUR/USD Technical Analysis: March 1, 2017

    The consumer price index of France inched up, however, it was unable to meet the projected level. While Italy’s rate of inflation remained consistent despite the forecasts about its potential decline. Moreover, the jobless rate in Germany is expected to decrease as mentioned by analysts and the German’s Manufacturing Purchasing Managers’ Index is assumed to remain steady.

    The single currency was not able to make some reversal on Monday. Buyers touched the 1.0631 region by which the spot eyed some renewed offers. The price turned back under the 1.0600 level and posted its session lows near 1.0567 area amid Asian session.

    The EURUSD attempted to break the barrier in the European hours. The EUR made a slight recovery few of its losses during the night upon approaching 1.0600 in the mid-EU trades.
    The price is close to the 50-EMA as it positioned in the neutral zone during the earlier trading while the 100-EMA preserved a bearish pattern and the 200-EMA drove downwards.
    Resistance settled at 1.0600, support plunge towards 1.0550.

    The MACD is situated at the centerline. When the indicator pierced the positive region, the strength of the buyers will grow while an entry in the negative territory will signal sellers to dominate the market. The RSI appeared to be neutral.

    Furthermore, bullish momentum is possible to reclaim. The next target of the pair is 1.0630. The EUR/USD may resume its ascending movement to 1.0650.

  • EUR/USD Technical Analysis: March 7, 2017

    The common European currency strengthened on the back of the dollar retracement since investors did some profit-taking subsequent to the rally that occurred last week. The greenbacks continued to gain strength amid growing expectations about rate hike in line with the Fed meeting scheduled on March 14-15. All eyes are now turned to French presidential elections.

    The EURUSD stayed in a downward channel yesterday. Failure to break beyond the level 1.0550 would pull back some buying interest which could lead the spot upwards. Meanwhile, a soft tone near the USD provided an opportunity for Euro’s recovery.

    The EUR have rallied into certain regions till it touched the upper limit of 1.0650 range. The barrier stalled bull’s activity as they initiated period of consolidation. The renewed selling pressure crop up during the late of Europe and push the major below the marks 1.0600 to 1.0580.
    As outlined in the 4-hour chart, the 100-EMA were being tested by euro in the morning.
    Moreover, the 100-EMA moved lower while the 50-EMA headed upwards and the 200-EMA maintained a mild bearish tone. Resistance lies at 1.0600, support entered 1.0550.

    The MACD decreased confirming a sell signal. RSI oscillator is confined in the oversold readings and favoring a downtrend.

    Maintaining a level under 1.0600 may regain the 1.0550 support level.

  • EUR/USD Fundamental Analysis: March 8, 2017

    The EUR/USD pair continued with its ranging and consolidation movement for the second consecutive day, with this current trend expected to continue for the subsequent trading session as well. There are no major economic news releases happening within the international market which might influence the movement of the EUR/USD pair, and this is why the market has been incessantly seeing this ranging and consolidation.

    However, this particular movement coming from the currency pair is also part of the pair’s preparation for the onslaught of important economic data which are expected to be released in the middle of this week, especially since these economic data would most likely induce a lot of unprecedented volatility in the EUR/USD pair. So until these data gets released in the market, it is highly likely that the currency pair would continue consolidating. The USD experienced some minor corrections throughout the course of yesterday’s trading session, and this has become evident in the state of the EUR/USD pair after the currency pair dropped slightly in value and is now trading at just over 1.0550 points. The pair is expected to maintain its hold on this particular barrier as more buys are expected to come in at this region. This could also cause the currency pair to move towards 1.0600 points and will continue consolidating for the rest of the trading session.

    There are no major news releases expected from the European Union for today but the US will be releasing its ADP employment data later today. This employment data is usually touted as a precursor to the NFP report and although its importance is now being overlooked, it still serves as a necessary gauge on how the the NFP report would eventually pan out. Any fluctuations in this particular data are most likely to show in the NFP report as well.

  • EUR/USD Technical Analysis: March 9, 2017

    The trend of EURUSD made little changes prior to the onset of ECB monetary policy meeting. The German Industrial Production came in green which provided minor support for the European currency.

    The bears continued to dominate the market on Wednesday. During the whole night of trading, the sellers persist in pushing the major lower and touching 1.0550 level in the earlier trades. While European traders struggled to break the mentioned handle.

    The 4-hour chart showed the pair cut through the 50-EMA towards a lower point. The timeframe also outlined the price was situated under the moving averages and directed downwards.

    Resistances landed at 1.0600, support is at 1.0500.

    The MACD histogram has its seat in the centerline. An entry towards the negative zone will signal increasing strength for the sellers. The positive territory, on the other side, will indicate buyer’s control within the market. RSI hovered around the neutral territory.
    Any action under the 1.0550 region would trigger bearishness to 1.0500 mark.

  • EUR/USD Technical Analysis: March 13, 2017

    The single European currency was able to remain in the driver’s seat following the hawkish remarks from ECB President, Mario Draghi. Moreover, the broad-based retracement of the greens open doors for the euro to recover few of its losses.

    The current rebound from region 1.0525 that pulled away the euro from the red. The EUR have sustained its winning position on Friday. The buyers were able to push 1.0600 during EU opening and advanced towards 1.0615 during the latter part of the day.

    The 4-hour chart presented the 100 and 50-EMA to ascend and come nearer to the 200-EMA. Moreover, the 50-EMA shifted towards the upper level, 100-EMA appeared neutral and the 200-EMA preserved a bearish trend. Resistance touched 1.0650, support is at 1.0600.

    The MACD histogram came in the positive territory. Upon maintaining this grounds, buyers will gain more strength. RSI headed north indicating an upward impetus.

    The euro indicated an overbought condition. Forecasts say that pullback is expected within the market in the near-term. The next focus is at 1.0550 mark.

  • EUR/USD Fundamental Analysis: March 15, 2017

    The USD increased in value as the market anticipates the release of the FOMC rate announcement later today. As a result, the EUR/USD consistently weakened yesterday and has managed to break through 1.0650 points and is currently situated at just above 1.0600 points. A lot of analysts have been saying that the currency pair could possibly consolidate within the 1.0600-1.0700 barrier during the week of the FOMC statement and could possibly maintain its place within the region up until the end of this week.

    The expected rate hike this coming March is pretty much secured and what the market will be focusing now is the amount of hawkishness of this particular announcement, and this is where the uncertainty lies. The majority of market players have no idea on just how hawkish the statement should be in order to push the value of the dollar further. Nonetheless, the market expects that there would be some sort of clue on the Federal Reserve’s next move and if possible, hints on the next scheduled interest rate hike from the central bank. Of course, it would definitely be good news for the market if the statement outwardly gives out clues of the next rate hike, but then again the central bank is not known for such moves and could possibly state that the schedule of the subsequent rate hikes would depend on the status of various economic data in the future.

    The volatility of the EUR/USD pair could possibly be increased by the release of the CPI index data and the retail sales data. The currency pair could possibly drop to 1.0600 points and could even reach 1.0580 for a short period if the data comes out as positive.

  • EUR/USD Technical Analysis: March 20, 2017

    The Eurozone Trade Balance, particularly in Italy, presented negative results. While the greenbacks sentiment remained to be a major driver of the markets. The US dollar kept its stance near its lows on the back of slightly hawkish remarks of J. Yellen.

    The common European currency spiked amid the post session of New York last Thursday. The buyers lead the price higher and broke the level 1.0750. On one side, bulls successfully edged higher towards 1.0770 in the latter part of the day and decided to stop.

    The spot kept intact in a narrow range over the 1.0750 region. The neutral position was preserved amid morning session.

    The 4-hour chart presented the price to develop beyond the moving averages, as the 50-EMA showed an upward crossover to the 200-EMA. The 50 and 100-EMAs advanced upwards while 200-EMA is found neutral. Resistance is at 1.0800, support lies at 1.0750.

    The MACD histogram increased which suggested a buy signal. RSI have seen consolidated within the positive zone.

    It is expected that the outlook, in general, will remain to be bullish due to ascending trend en route 1.0800. Nevertheless, there still a possibility of reversal towards 1.0720-1.0700.

  • EUR/USD Fundamental Analysis: March 22, 2017

    The EUR/USD pair was able to move towards 1.0800 points, with the currency pair managing to stay at over 1.0800 for a brief period. However, since the pair has not yet managed to make a clean breakthrough at this very tough barrier since it only momentarily peeked over this level, the pair’s surge was eventually met with large selling and had no choice but to retreat at just under 1.0800 points.

    However, in spite of this particular occurrence, the EUR/USD pair is still trading on a somewhat stronger note, thanks to the pair’s bulls who continue to trade on a strong streak. The EUR/USD pair’s move at under 1.0800 now seems as just more of a correction as the pair’s price are still well-maintained within its range highs. This is why the currency pair might give another shot at surpassing the 1.0800 barrier for today, especially since the forthcoming French polls might have Macron as its next President after all. This is a sigh of relief especially for the EUR currency, since Le Pen, Macron’s opponent, is a widely-known critic of the euro currency. In addition, the pairs bulls are getting a lot of encouragement from the very bullish stance of the ECB, who recently stated that the strength of the euro can be mostly attributed to an improvement in the EU economy. The USD has also been struggling to make significant gains in spite of the recent rate hike and there is a very definite possibility that the pair could possibly move towards 1.1000 points once makes a clean break through 1.0850 points.

    There are no major news from both the EU and the US economy for today, and this is why the EUR/USD pair might again attempt to break through its barrier. Traders could opt to wait whether the currency pair is able to surpass 1.0850 during the course of the day.

  • EUR/USD Technical Analysis: March 27, 2017

    The positive figures of Manufacturing and Composite PMI from the countries, France, Europe and Germany offered some strength to the single European currency. Particularly, German index which attained the strongest level for almost six years. Meanwhile, the greenbacks obtained a weaker position after the treasury yields inch lower in which provided further support for euro.

    The EURUSD continued to stay in the hands of the bulls on Friday. The EUR reached its lower limit in the ascending channel over the night and jumped higher. The price also spiked from the mark 1.0760 towards 1.0800 amid EU morning sessions and sit still in the New York trades.

    The 4-hour chart determined that the pair resumed its development on top of the moving averages as the 100 and 50-EMA preserved a bullish pattern while 200-EMA came in neutral.

    Resistance entered 1.0800, support touched 1.0750 region.

    MACD indicator strengthened which showed a buy signal. RSI oscillator edged upwards.

    In case the level 1.0800 broke, the next level would possibly be at 1.0850.

  • EUR/USD Fundamental Analysis: March 28, 2017

    The EUR/USD pair crashed during the previous session as the pair corrected its current upmove which has been the pair’s trend for the past few weeks. The USD finally recovered across the board, resulting to sellers taking advantage of this occurrence and selling the EUR. The dollar strength has helped to propel the pair’s value towards 1.0800 points, therefore eradicating the pair’s previous gains which was made last Monday.

    Because of this, traders are now mulling over the fact that the EUR/USD pair could be in for more corrections as the sessions progresses. However, the market has no choice but to wait and see how the pair’s price action turns out in the next few days, particularly if whether the pair would continue its current trend of correction or if the pair backs down as it approaches its support barrier at 1.0800, where the currency pair is situated as of the moment. The USD remained weak last Friday up until Monday due to the repeated failed attempts of the Trump administration to pass the healthcare bill. However, the White House is now trying to make another attempt at passing the said bill after Republicans reached out to like-minded Democrats. In addition, the US economy continues to release a slew of strong economic data and this has caused the EUR/USD pair to fall further during the US trading session.

    For today’s session, there are no expected releases coming from both the EU and the US economy. However, the month-end flows are expected to come anytime soon as March comes to a close, and since the USD’s strength is expected to persist today, the EUR/USD pair would continue to remain under pressure with the 1.0800 range remaining the essential barrier for the currency pair.

  • EUR/USD Technical Analysis: April 3, 2017

    The US dollar is positioned near its weekly highs on Tuesday but the bullish tone of German jobless rate stalled its advancement which offered another leg to the common European currency.

    Furthermore, the price maintained a bearish sentiment last Friday, however, the bears did not hold its stance longer favoring the bull to reversed few of its ground.

    The price bounced towards the area of 1.0675 amid Asian session on Friday. The EURUSD made a reversal to the mark 1.0700 throughout the European trades.

    The 4-hour chart showed the EUR/USD cut through the 100-EMA downwards while 100 and 200-EMAs directed upwards, showing the 50-EMA to drove downwards.

    Resistance was seen at 1.0700, support entered at 1.0650.

    The MACD histogram grew less which indicates a sell signal. RSI indicator spent the day around the oversold territory, confirming a renewed higher move.

    Forecasts say a move on top of the immediate resistance involves higher chance of testing the region 1.0750. Alternatively, a sell-off has a probability to occur towards mark 1.0650.

  • EUR/USD Fundamental Analysis: April 5, 2017

    The EUR/USD pair is still trading within a very limited range, although the pair’s bulls have somewhat managed to maintain its hold on the currency pair in spite of the pair’s inability to move in any definite direction for quite a while now. The pair’s bulls were initially expected to surrender its gains in order to enable the EUR to advance towards 1.0500 points at least prior to the FOMC meeting, but so far this has not yet occurred and it is possible that the minutes will be released with the EUR/USD pair still trapped within its current trading range.

    The market was taken by surprise yesterday as Fed member Lacker tendered his resignation after admitting that he had leaked top-secret information with regards to the 2012 FOMC meeting to a certain financial institution. Lacker has also stated that the firm’s analysts had the said information but regardless of Lacker’s manipulation of the said statement, it remains clear that he has illegally leaked confidential information and subsequently resigned when the said scheme was revealed. The USD had surprisingly no reaction to to this particular news once it was released.

    However, during today’s session, the USD backtracked across the board as the EUR/USD pair surged from 1.0650 points and traded very near its range highs of 1.0680 points. As of the moment, the market is now in a consolidating move as a lot of economic data are expected to be released later today. The ADP Employment Change data will be released today, which is an important piece of economic news since this is largely considered as a basis for the result of the NFP report. The US Manufacturing PMI data will also be released, followed by the FOMC minutes towards the close of the NY session. A volatility surge is expected prior to the release of the FOMC minutes and as such, traders are advised to tread very carefully with regards to trading with the EUR/USD pair. The pair’s bulls are most likely to dominate the pair and could enable the EUR/USD pair to inch higher during today’s series of sessions.

  • EUR/USD Technical Analysis: April 10, 2017

    The European currency was kept intact below the pressured area against its U.S peer which would likely post further losses. Germany released a mixed data while exports and imports did not meet traders’ expectations. The strong figures of Trade Balance have given support for the EUR. On the other hand, the dovish remarks of ECB President, Draghi place pressure on the major.

    The entire perspective showed moderate changes on Friday. The EUR/USD stayed near the neutral spot during the morning session as its trades close to the lower end of its weekly narrow range. Moreover, the sellers came in active in the first part of the day pulling the spot downwards. The major cut through the level 1.0650 touching 1.0630 amid late trading of Europe.
    Renewed selling pressure occurred prior the New York open. Sellers were able to direct the price through the points 1.0610-1.0600.

    The price settled under the moving averages as registered in the 4-hour chart, 100 and 50-EMAs turned lower while 200-EMA continued to heads up.

    Resistance reached 1.0650 area, support highlighted 1.0600 region.

    The MACD histogram softened which signaled sellers’ strength. RSI headed southwards confirming a current downtrend.

    The spot is expected to resume a bearish tone within a short period of time. A break under 1.0600 is awaited as it may trigger for a lower support.

  • EUR/USD Fundamental Analysis: April 12, 2017

    The Euro paired against the U.S. dollar climbed higher during Tuesday’s session as it rebounded in the support level near the 1.0580 and broke towards the 1.0600 mark. It is favorable to go long as it extended towards the 1.0630 mark. It seems that the decline in prices has reached its end and is now anticipated to rise leaving the market wondering how high can it go. However, there is not enough momentum to bring the price up since the greenback has recently recovered that brought the pair back to the 1.06 mark.

    There has been a lot of happenings involving geopolitical events in the past 24 hours that shook the market causing high volatility in the trend. The tension with North Korea and the situation in Syria where U.S. is trying to take control have been increasing concern day-by-day.

    Moreover, Trump is trying to regain its pride and stand in the global economy.

    It seems that Trump is losing its foothold as this puts pressure in the dollar but in effect brought the price up for the EUR/USD pair instead. With all his promises such as higher infrastructure spending, lower corporate taxes, improved health care programs, these were not yet achieved and the market is becoming impatient.

    For major news today, traders should look out for the U.S. Crude oil inventory data to be released today but would not have much of an effect on the EUR/USD pair. It is foreseen that the pair will most likely react but in a small range due to rising geopolitical problems and associated risks which could persist for some time.

  • EUR/USD Technical Analysis: April 17, 2017

    A sell-off occurred last Thursday was followed by the building recovery attempt by the single European currency on Friday. Meanwhile, sellers were unable to cut through below the region 1.0600. In light of this, the price resulted to rebound through the level during the night and trailed northwards amid day trading.

    The EURUSD highlighted 1.0625 in the late session of Europe. Resistance entered the area 1.0650 while the support lies at the mark 1.0600.

    A fresh bearish pressure is expected in the short-term. A breakout within 1.0600 would direct to its next objective at 1.0550.

    Moreover, the major headed through 1.0650 for a correction. A gapped near the region would extend the recovery towards 1.0675. A bounced off hitherto will send back bearishness in the market.

  • EUR/USD Fundamental Analysis: April 20, 2017

    The EUR/USD pair encountered a lot of selling pressure after it reached the 1.0750 trading range and was unable to make any significant progress beyond this particular region. The currency pair has tried in vain to break through this range and has since then resorted to consolidating between 1.0750 and 1.0700 region for the duration of yesterday’s session, with the pair’s bulls mostly responsible for maintaining the pair’s position within its range highs.

    There were no economic news released during the previous session and this is why the EUR/USD pair merely engaged in a ranging and consolidating mode with a bullish undertone for the US dollar. The USD strength was not that pronounced and was only able to induce a minor correction in the EUR/USD pair. However, there are some members of the ECB that are saying that economic speculations in the eurozone could possibly exceed market expectations, however this did not make a significant dent in the current value of the EUR/USD pair. The 1.0750 trading range could possibly be a good position for the pair’s bears to push the currency pair down, where the selling is expected to surge. The currency pair could also possibly correct towards 1.0600 unless a major market phenomenon shocks the market yet again.

    For today’s trading session, the US will be releasing its unemployment claims data as
    well as its Manufacturing Index data while there are no expected releases from the EU economy. The US Treasury secretary will also be making a speech within the day and this is expected to increase today’s market volatility. On the other hand, the USD is expected to hold its ground and the currency pair will most likely remain within its current range.

  • EUR/USD Technical Analysis: April 26, 2017

    On Tuesday, the Euro bulls were able to win back the driver’s seat following a neutral position in the night.

    The major were removed from the region 1.0850 during the morning trades of Europe as it moved and rallied near its fresh peaks found at 1.0900 mark.

    The price halted within the 1.0900 in which the EURUSD eyes some renewed offers. The single European currency had moderately eased eliminating its entire gains in the morning eventually.

    As shown in the 4-hour chart the technical indicators appeared to be bullish. Resistance touched 1.0900 level, support pierced through 1.0850 range.

    Moreover, a close over 1.0900 is expected to yield fresh bullish indicator in order to move further. It could probably reach the 1.0950 hurdle but correction is not ruled out as a means of filling the gap.

  • EUR/USD Fundamental Analysis: May 2, 2017

    The EUR/USD pair exhibited a ranging and consolidation during the duration of yesterday’s session. It was a market holiday yesterday in several parts of Europe and Asia, and this is why the market volatility and liquidity levels were on a low during the previous session. In addition, traders are also proceeding with caution since the first week of the month is usually characterized by an influx of economic readings from last month.

    These factors were the main reason why the currency pair consolidated within a small range of less than 50 pips. Today could be considered as the legitimate start of the week, and now that there is an expected surge of data coming from last month, the market is expected to undergo some significant volatility for today. The EUR/USD pair ran at 200 pips during the previous week following the results of French national elections, and this is why the currency pair could possibly be subject to corrections, although it has yet to be seen just how significant these corrections would be. The 1.0850 trading range is expected to ward off any corrections at least for the time being while the market waits for the release of economic data this week. The FOMC meeting minutes, the NFP report, and a speech from Yellen will be released within the week which could induce volatility in the pair. However, the market will be looking out for any hints of a Fed rate hike this June and if this does not happen, then the EUR/USD pair could possibly test the 1.1000 trading range.

    For today’s session, there are no major economic releases from both the EU and US economy for today, and the EUR/USD pair is expected to undergo a consolidation with bearish undertones for the rest of today’s session.

  • EUR/USD Technical Analysis: May 3, 2017

    The EURUSD remained steady on its position as it trades in a comparably tight range regardless of the massive data from the European region such as unemployment and PMI.

    While the agreement made in Greece together with IMF and EMU is expected to maintain the pair in a higher stand.

    While central bankers were on the news and brought challenges towards Mario Draghi in pursuing a dovish sentiment. The pair extends its consolidation on the first day of Europe’s long weekend and created a bull flag pattern which serves as the pause to stimulate.

    Traders are anticipated to postpone its action prior to the U.S Non-Farm Payrolls scheduled on Friday or the fulfillment of second-round election in France preceding the major to reach its renewed highs.

    Resistance lies at 1.0955 close on its previous week’s high while the support came in at 1.0843 next to the 10-day moving average.

    The momentum kept a favorable stance since the MACD were printed in black along with an upward sloping path reflected in the histogram. This event had influenced to the advancing positive trajectory pointing to a greater exchange rate.

    An upward trend of the Relative Strength Index is seen at 67 posted on the upper side of the neutral range.

  • EUR/USD Fundamental Analysis: May 4, 2017

    The USD had a very positive trading session yesterday as a result of a positive economic dollar-related news. This then helped the dollar to eclipse the value of other currencies, and the EUR/USD pair was no exception. The currency pair had started out yesterday’s session on a somewhat slower pace as the market anticipated the release of important economic readings and had spent the majority of yesterday trading within its range highs. However, as the said financial data started coming in, the dollar was able to capitalize on this slew of good news and prop itself up higher, putting significant downward pressure on the currency pair which is now trading at just under 1.0900 points.

    The first bit of good news came in the form of the ADP employment report, which surprisingly came out as expected, considering the fact that last month’s NFP report had failed to meet market expectations. Up next was the manufacturing report which also came out as positive, and this increased the USD’s value even more. However, by this point, the dollar was still somewhat at par with the value of the euro since the market chose to standby for the release of the FOMC meeting minutes. The said minutes were released halfway during the NY session, and since there was no accompanying press conference the market had no choice but to pick on the results of the minutes itself. The Fed did not give any indication of the schedule of the next rate hike, however it pointedly ignored the somewhat tame economic growth in the Q1, which the market took as a signal that the central bank might be preparing for another June rate hike. This triggered a dollar buy which pushed down the EUR/USD pair towards under 1.0900 points.

    As of this point, the market is starting to price in a June rate hike although there are still no definite hints as of the moment. For today’s session, the market is expecting the release of the US unemployment claims data while Draghi will be speaking during the latter part of the NY session. There is little volatility expected today as the NFP report is due to be released tomorrow. The EUR/USD pair is expected to trade with bearish undertones for the rest of today’s sessions.

  • EUR/USD Fundamental Analysis: May 11, 2017

    The EUR/USD pair continues to exhibit an intermittent trading action, which has been the pair’s dominant price trend ever since the beginning of this week. The market had initially expected the currency pair to start off this week with a bang and consistently exhibit a positive trading stance throughout the week due to Macron’s recent victory in the French polls, but as of now the currency pair is on the backfoot as its bulls have decided to retreat and take out profits in order for them to purchase the EUR/USD pair lower as it continues its correction.

    In addition to the EUR/USD pair’s weakness, the greenback has also been strengthening across the board as traders are now about to conclude their June rate hike pricing. All of these factors has caused the EUR/USD pair to exhibit corrections at under 1.0900 points. However, during the past two days, the currency pair has been either ranging and consolidating or exhibiting a choppy price action, which is an indication that the market is attempting to create its own base. The currency pair is expected to create a base for another bullish attempt as the after-effects of the most recent rate hike is now losing its relevance and the improvements in the EU economy is now starting to become more evident in the market.

    For today’s session, there are no major news releases from the EU although the US economy will be releasing its unemployment claims and PPI data, although these are not expected to make a significant dent in the current status of the currency pair. The EUR/USD pair can be safely expected to remain its choppy action at the 1.0850 trading range throughout the day.

  • EUR/USD Technical Analysis: May 15, 2017

    The EURUSD edged upwards amid Friday sessions as it cleared up the top of Wednesday and Thursday candles followed by the release of the less than stellar figures of United States. In light of this, the market would likely touch above the 1.10 region which the resistance.

    A gap over the mentioned area indicates a bullish tone, probably moving towards the 1.13 range trailing to 1.15 eventually.

    The market consolidated in the midst of 1.05 and 1.15 levels in the past years. We are currently located in middle of the trading range which is close to the “fair value” which results for a complex trading setting in the near future.

    The back and forth trading in the near-term is highly anticipated for the next few sessions. While short-term charts will also lead forward since consolidation is required in the overall region.

    A gap overhead the 1.10 area will trigger further purchasing interest. However, a break below the 1.0750 mark will drove to 1.05 handle.

    The market is projected to be very volatile and uneasy to trade, mainly because of the concerns that the European Union are currently involved with the United Kingdom together with other nations.

    Despite the results, it is vital to maintain your stop loss take, and take note that the market is somewhat aimless in the long-term.

  • EUR/USD Technical Analysis: May 17, 2017

    The EURUSD raise higher because of the support of a strong growth and below-than-expected data in the housing number of the United States which brought an impact towards the U.S Treasury yields, hence placing a downward pressure to the American dollar. The sales of US chain stores keep worsening that caused for the greens to move lower.

    The Europe started to gain more confidence with hopes that the European Central Bank is going to remove the quantitative easing.

    The pair climbed upwards reaching 0.9% near the mark 1.1080. The price was cut into the downtrend sloping line moving close to the support region 1.0990.

    Further support is found alongside the 10-day moving average approaching the 1.0940 level. The target resistance can be spotted at 1.1299 touching its November peaks. Moreover, the momentum was positive since the moving average convergence divergence (MACD) histogram formed a crossover signal to buy. This is the result of the spread that crossed over the 9-day EMA of the spread.

    The histogram shifted from negative to positive area indicating a buy signal. It also printed in the black along with an upward sloping trajectory and turns to a higher rate.

  • EUR/USD Technical Analysis: May 24, 2017

    The EURUSD attempted to move through the higher region on Tuesday, however, failed to maintain its gain upon reaching the level 1.1268. When the profit taking started the pair was pushed beneath the 1.12 handle.

    Meanwhile, the stronger report of GDP and sentiment data buoyed the EUR/USD and the yields turned up in Europe as relating to its American counterparts. Moreover, the PMI readings kept unchanged in the month of May, as the German nation lead the charge that reflects towards a strong growth.

    The major pair touched the higher high as it eclipses the prior day high using 5 pips. The resistance is found at 1.1299 level close to November 8 highs and in case the level will be broken, it would lead to testing 1.1365 region near its August highs in 2016.

    The support entered the mark 1.1603 around the 10-day moving average. Momentum is slow-moving, seeing the moving average convergence divergence (MACD) print in the black together with a descending trajectory that drives towards the consolidation.

  • EUR/USD Fundamental Analysis: May 30, 2017

    It was a market holiday on several parts of the world yesterday, and the absence of market volatility due to the said holidays was felt throughout the market during the previous session as most of the major currency pairs consolidated and traded within a very limited range yesterday. EUR/USD traders had only one thing to look forward to during the duration of yesterday’s session, which is Draghi’s speech wherein he made his usual statements on the lessening of downward pressure on the EU economy, although this had little effect on the EUR/USD pair’s current standing.

    What affected the value of the currency pair was the news that Greece is now prepared to abdicate the following bailout fund if the EU will still be unable to reach middle ground as far as the conditions were concerned. This then caused the EUR/USD pair to correct towards 1.1120 points during the latter part of yesterday’s session. As of the moment, the market is still experiencing very low liquidity levels as the Chinese market remains to be on a holiday, and as such, traders are advised to take all market movements today with a grain of salt. In addition, the market will also be experiencing month-end flows before this week comes to a close, and this is why traders should take it easy in order to prepare themselves for the onslaught of economic data later this week. The Fed rate hike in June is still not fully priced in, and unless the market gets some sort of conclusion with regards to the Fed’s next move, then it will be very hard to determine the short-term price actions of the EUR/USD pair. But the recent correction of the EUR/USD pair should be taken only as a mere correction instead of a full-on trend change as corrections are deemed as normal in every currency pair.

    For today’s session, the market is expecting the release of Germany’s Preliminary CPI data, as well as the PCE data from the US economy. The PCE data will be closely watched as this will indicate whether the Fed will be indeed pushing through with its rate hike or otherwise and could possibly induce a lot of volatility into the market within the day.

  • EUR/USD Fundamental Analysis: June 1, 2017

    The EUR/USD pair looks poised to make another attempt at reaching its current range highs as the currency pair was able to take advantage of a correction in the greenback. This upward pressure in the currency pair is expected to last well into the first few days of June, particularly the 2 most essential trading days for this month.

    The dollar experienced corrections on the back of a couple of disappointing data from the US economy. The first one was the Chicago PMI data, which failed to meet its expected economic reading and the pending home sales data, which also disappointed the entirety of the market yesterday. This triggered a large-scale dollar selloff against other major currencies and has enabled the EUR/USD pair to advance towards 1.1200 and was even able to reach 1.1250 points throughout the course of the NY session. Since the Fed had previously clarified that the implementation of the June rate hike will be wholly dependent on the results of the incoming economic readings from the US, the market has become very sensitive to readings coming from the US economy, with even minor readings inducing major volatility levels on the market especially if these comes out as very disappointing for investors. Eventually, the PMI data was revised to a much higher reading and this helped to cushion the blow of the fall of the USD, although this has left an impression on the market with regards to the adverse effects of a negative reading to the value of the US dollar. Meanwhile, the USD continues to be in peril in spite of its drop in value being temporarily stalled.

    For today’s trading session, there are no major news releases coming from the EU economy while the US will be releasing its unemployment claims data and its ADP Non-Farm Employment change data during the NY session, which is a precedent to the release of the NFP report on Friday. This particular bit of news is then expected to induce major volatility levels and a move of the currency pair below 1.1200 points should be a signal for the pair’s bulls to rethink their positions.

  • EUR/USD Technical Analysis: June 5, 2017

    The EURUSD moved through an upward direction on Friday after the release of weak data on employment report. The U.S yields further weakened as prices ascended at a faster pace compared with the European bonds. This made the euro lure attraction of investors prior the ECB meeting scheduled next week.

    The European producer price manifested stronger figures, beating expectation which paved the way for a higher rate on the pair. The pair had broken out on the back of a bull flag formation which serves as a pause to refresh higher.

    The prices increased by 1.1282 region just shy of 1.1299 close to November 8 highs. The next resistance target is found at the mark 1.1365 near the highs of August 2016. The support reached 1.1206 area around the 10-day moving average.

    The momentum came in neutral while the MACD histogram printed nearby the zero-index level whereas the index appeared to be in a flat trajectory suggesting for a consolidation.

  • EUR/USD Technical Analysis: June 9, 2017

    The EURUSD drove downwards as the European Central Bank (ECB) decided to maintain the interest rates on a steady pace coupled with dropped easing bias. This further took a neutral position with regards the way they will see the monetary policy.

    The schedule for quantitative easing remained unchanged while rates should be expected to retain its recent levels as reflected in the transcripts.

    The pair moved near the support shown at 1.1220 mark that lies around the 10-day moving average which currently serves as the resistance in the near-term. Further resistance sits at 1.1285 region close to the weekly highs. An ascending sloping trendline is found at 1.1140 area. Meanwhile, the momentum turned towards the negative territory and the moving average convergence divergence (MACD) produced a crossover signal to sell prompted by the intersection of the spread under the 9-day moving average. The histogram shifted from positive en route the negative grounds and confirmed a sell signal.

  • EUR/USD Technical Analysis: June 13, 2017

    The European Central Bank decided to stabilize the apple cart and did not talk about the withdrawal of Quantitative Easing turning the focus towards the talks regarding Brexit and politics. Italian elections were delayed which helped yields from Italy to decline on the back of an extensive narrowing of spreads followed by the dovish remarks pronounced by M. Draghi.
    However, lots of political challenges remain in the future.

    The anti-European forces appeared to be inactive while in Catalonia, Spain threatens the stability of the Spanish country due to the independence referendum planned for October 1.

    The debt relief of Greece continue to hang in the Euro region and this is the expected major topic in the EU meeting scheduled on Thursday.

    The EURUSD tried to move higher but failed to reacquire its previous resistance found at 1.1227 level close to the 10-day moving average.

    The exchange rate indicates the second day of the Doji formation that further shows uncertainties where the close and open levels are in the same range.

    Moreover, the pair seems to generate a head and shoulder reversal pattern which starts to produce the right shoulder followed by the left and lastly the head which resistance region entered the 1.1285 area.

    Prices in the previous weeks failed to break 1.1299 mark seen around the November 8 highs. The major’s near-term support holds 1.1109 near the lows of May 29.

    The momentum became negative since the moving average convergence divergence (MACD) develops a sell signal to take a crossover. It emerged because the spread crosses underneath the 9-day exponential moving average. The histogram shifted to negative grounds from the positive territory establishing a sell signal. The index also prints in the read paired with a descending trajectory that points towards a lower rate of the EUR/USD.

  • EUR/USD Fundamental Analysis: June 14, 2017

    The EUR/USD pair merely continued its tight trading action during yesterday’s session as the market braces itself for the announcement coming from the FOMC scheduled for today. The currency pair had initially attempted to move towards the bottom if its range but was immediately met with some large-scale buys in the 1.1160-1.1180 range, prompting the currency pair to revert to its original range.

    During the previous session, the most important region for the pair’s bulls and bears was the 1.1200 trading range, with the currency pair managing to close down yesterday’s session at just over this particular range. However, this would all be futile if ever the Fed decides to implement another interest rate hike and release a very hawkish statement. As of the moment, the market has priced in a 90% possibility of rate hike, with the Fed neither confirming nor denying rumors of a possible interest rate hike. The market has taken this as a positive signal from the Fed as far as the rate hike is concerned, and this is one of the reasons why the EUR/USD pair is now trading within its range lows paired with somewhat tame bounces in between as the USD continues to hold on to its current value. Now that the rate hike is already priced in, the market will now be shifting its focus towards the FOMC statement, where the central bank is expected give clues with regards to the next rate hike. The next scheduled rate hike was initially scheduled to be implemented this coming September, however a series of negative data from the US economy has caused doubts on whether the central bank will be indeed pushing through with the next rate hike.

    Aside from the FOMC rate announcement, the US economy will also be releasing its retail sales data and CPI data, both of which are expected to induce volatility levels into the EUR/USD pair. However, since the market will be focusing today on the rate announcement, a volatility surge is expected right after the release of the FOMC statement.

  • EUR/USD Fundamental Analysis: June 16, 2017

    The EUR/USD pair exhibited a correction during the past 24 hours as the US dollar regained its strength following the recent Fed rate hike. This was pretty much expected for the EUR/USD pair once the London session commenced and were able to react on this recent development from the US economy.

    The market faced a slight disorientation halfway through yesterday’s NY session as the Fed mulled over whether it will still push through with its planned interest rate hike in spite of a series of disappointing economic data from the US. Luckily, the central bank decided to go ahead and push through with the said hike and even chose to shrug off the weak economic data as a mere one-off and instead kept its focus on future rate hikes as well as the overall economic health of the country. This gave off a bullish undertone to the market, and the market responded accordingly by triggering a massive dollar buying across all currencies. As a result, the EUR/USD pair sank through 1.1200 points and spent a short while at the 1.1160-1.1170 support range, and although the pair was met with some buying within this range, this buying lasted only for a brief period and the pair eventually dropped towards 1.1130 points before finally settling at just under 1.1150 points, where it continued to trade in a very weak manner, with its next short-term target located at 1.1100 points. There were some positive data coming in from the EU, while the IMF also stated that the EU economy seems to be consistently improving, but so far this has had no effect on the EUR/USD pair.

    For today’s trading session, there are no major releases from the eurozone while the US economy will be releasing its building permits data. The dollar is expected to remain trading in a consistently strong manner which could put additional pressure on the EUR/USD pair.

  • EUR/USD Technical Analysis: June 27, 2017

    The EURUSD is trading sideways during Monday’s session, however, met the resistance level at 1.12. A breakdown below that point and touched under the region 1.1175, then spotted a slightly bullish pressure. A cut through on top of the 1.12 handle and a pulled back from that point will see for another support.

    With this, the pair is inclined to continue its ascending trend or maybe tried to touch the 1.13 mark in the longer term.

    Volatility is still high in the market which would likely cause the single European currency to remain a market that is not easy to trade with, therefore, buying is our only choice.
    The “fair value” is found at the 1.12 area and this point should be maintained. Buyers are starting to dominate the market, and there is no reason to stop moving near the 1.13 mark again.

    It is possible that the market will continue to provide lots of buying opportunities on the dips in the short-term at least.

    The market appeared to be crucial when imposing a sell signal unless we break the region under 1.1170. Ability to breakdown will lead the market towards 1.1125 handle.

    A cut through over 1.13 mark, the market will drive going to the top of 1.15 range which is a strong barrier as indicated on the longer-term charts. As consolidation between the bottom of 1.05 and top of 1.15 continues in the past three years.

  • EUR/USD Fundamental Analysis: June 28, 2017

    The EUR/USD was able to jump higher due to hawkish remarks of ECB head, Draghi coupled with the events happened in the United States that caused the greenbacks to weaken in general during Wednesday’s trading. The pair gained more than 160 pips in the past 24 hours and ultimately, the bullishness lasted in the past few weeks become apparent.

    During the first part of the day, the pair had a usual day spending time under the 1.12 level consolidating. Followed by the statement of Draghi, who frequently not discuss monetary policy on his speeches, however, this happened yesterday that moved that market.

    The European Central Bank is regarded to have a bearish stance but the strong data in the previous months that forced the bank to change their stand. Recently, M. Draghi mentioned his best indication regarding changes in track and stated that there is a likelihood that the central bank would start the tapering of QE very soon. This seems to be very hawkish for the European currency and the underlying strength aided the pair in pushing higher touching the 1.1250 level above.

    A short interruption occurred prior the 1.13 area that acts like a wall in the past months and has the potential to stop the pair within that point and conduct another reversal. Nonetheless, there are reports about the delay in the US healthcare reform bill due to diverging ideas coming from the Republicans per se. This event caused the USD to lose its strength in general due to worries regarding the policy paralysis in the US that was triggered once again. It further leads the pair across the region 1.13 above and trading comfortably as of this writing.

    Previous forecasts say that every last week of the each month will probably witness high volatility and this has been proven right.

    We expect today for another statement from the head of ECB with an anticipation to talk about fiscal policy again and if he does not mention this or anything that contradicts his comments, the pair will remain to move upwards as it was far away from the 1.13 resistance.

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