Daily Technical and Trading Outlook -EUR/USD

AceTrader Team AceTrader

DAILY EUR/USD TECHNICAL OUTLOOK
Last Update At 20 Apr 2017 00:15GMT
Trend Daily Chart
Sideways

Daily Indicators
Neutral

21 HR EMA
1.0714

55 HR EMA
1.0697

Trend Hourly Chart
Up

Hourly Indicators
Turniing down

13 HR RSI
53

14 HR DMI
+ve

Daily Analysis
Consolidation b4 marginal rise

Resistance
1.0829 - Feb high (02)
1.0779 - 61.8% r of 1.0907-1.0571
1.0737 - Y'day's fersh 2-week high

Support
1.0701 - Y'day's low
1.0678 - Last week's high (now sup)
1.0635 - MOn's NY low

. EUR/USD - 1.0715.. Euro spent an uneventful day y'day following Tue's cable-led rally to a 2-week high of 1.0736. Price inched higher to 1.0737 in Europe n later retreated to 1.0701 in NY morning b4 moving narrowly.

. Looking at the daily chart, euro's rise fm Jan's near 14-year bottom of 1.0341 to 1.0829 in Feb signals recent downtrend has made a low there. Despite climbing to a 4-month top of 1.0907 in Mar, subsequent selloff to 1.0571 signals aforesaid rise fm 1.0341 has ended n consolidation is expected in Apr. Having said that, y'day's 'cable-led' rally abv 1.0702 res to 1.0736 suggests choppy consolidation with near term upside bias remains, abv 1.0779 (61.8% r of 1.0907- 1.0571) would bring stronger gain twd 1.0829 (Feb high) but a daily close abv there needed to abort bearish outlook n risk re-test of 1.0907. On the downside, below 1.0604 suggests correction fm 1.0571 over n yield re-test of this lvl.

. Today, despite euro's pullback frm 1.0737 to 1.0701 on Wed, as price is still trading abv the 55-hr ema, bullish bias remains for gain twd 1.0779, however, as hourly indicators would display 'bearish divergences' on next rise, 1.0800 should hold. Only below 1.0678 confirms top is made n risks 1.0635.

Interested in EURUSD technicals? Check out the key levels

1. R3 1.0770
2. R2 1.0754
3. R1 1.0732
PP 1.0716
1. S1 1.0695
2. S2 1.0679
3. S3 1.0657

Author

AceTrader Team

AceTrader

Led by world-renowned technical analyst Wilson Leung, we have a team of 7 analysts monitoring the market and updating our recommendations and commentaries 24 hours a day.

EUR/USD: US Dollar to remain pressured until uncertainty fog dissipates

Unimpressive European Central Bank left monetary policy unchanged for the fifth consecutive meeting. The United States first-tier employment and inflation data is scheduled for the second week of February. EUR/USD battles to remain afloat above 1.1800, sellers moving to the sidelines.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold: Volatility persists in commodity space

After losing more than 8% to end the previous week, Gold remained under heavy selling pressure on Monday and dropped toward $4,400. Although XAU/USD staged a decisive rebound afterward, it failed to stabilize above $5,000. The US economic calendar will feature Nonfarm Payrolls and Consumer Price Index data for January, which could influence the market pricing of the Federal Reserve’s policy outlook and impact Gold’s performance.

Week ahead: US NFP and CPI data to shake Fed cut bets, Japan election looms

US NFP and CPI data awaited after Warsh’s nomination as Fed chief. Yen traders lock gaze on Sunday’s snap election. UK and Eurozone Q4 GDP data also on the agenda. China CPI and PPI could reveal more weakness in domestic demand.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.