EUR/USD rejected at 5-DMA, trades below 4-hr 200-MA
|The EUR/USD failed to hold above 5-DMA level of 1.0562 and shed a few pips to trade below the 4-hour 200-MA levels of 1.0551 in the dull Asian session.
Double top on intraday charts
Pair’s retreat from the Tuesday’s high of 1.0627 has put in place a double top formation with the neckline support at 1.0511.
The focus today is on what Trump says, especially about China, during his speech later today. The data docket is light, which means the lackluster trading is likely to continue ahead of Trump speech.
EUR/USD Technical Levels
On the daily chart, the descending trend line coming from Dec 8 high and Dec 30 high remains valid, courtesy of the pair’s failure at 1.0627 followed by a daily close at 1.0553 on Tuesday.
A break above 1.0553 (trend line hurdle today) would open the doors to 1.06 (zero figure) and 1.0627 (previous day’s high). On the other hand, a breakdown of support at 1.0511 (10-DMA) would shift risk in favor of a drop to 1.0423 (Dec 22 low) and 1.04 (zero figure).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.