Hourly
Yesterday’s Trading:
On Monday the euro/dollar was trading in a sideways. After a growth to 1.0789, the euro fell to 1.0726. This was caused by talk of the need for interest rates on deposits to be dropped below -0.20%. I’m not so sure what caught market participants by surprise; Mario Draghi spoke of reducing rates at the last press conference.
Main news of the day:
- No events planned.
Market Expectations:
Trader activeness on the Forex market was down after the NFP came out. The hourly indicators offloaded yesterday. The pair is ready to shift towards Friday’s maximum. The calendar is empty, so nothing should stop a straight fall for the euro.
Technical Analysis:
Intraday target maximum: 1.0761 (Asian current), minimum: 1.0684, close: 1.0705;
Intraday volatility for last 10 weeks: 119 points (4 figures).
The euro/dollar has bounced by 67 degrees from the 1.0707 minimum. The rebound against the trend really came off. The AC indicator is up and the AO is by the zero line. The CCI indicator is ready to head to the zone below -100. As we can see, the conditions for the euro’s fall are ripe. My Tuesday’s target is 1.0684 (90 degrees).
Daily
We’re looking at the price dropping below 1.0700. Then to 1.0650 and below to 1.0520. The interim target is 1.0650. Now to the Weekly.
Weekly
The euro/dollar is trading at a support which formed from 1.0818 and 1.0807 minimums. I think that it will be passed in the coming days and the euro will fall to 1.0520 (14th April minimum).
Forecasts which are made in the review constitute the personal view of the author. Commentaries made do not constitute trade recommendations or guidance for working on financial markets. Alpari bears no responsibility whatsoever for any possible losses (or other forms of damage), whether direct or indirect, which may occur in case of using material published in the review
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