Daily Technical Outlook on Major - EUR/USD

Trend Daily Chart
Down

Daily Indicators
Bullish convergences

21 HR EMA
1.1341

55 HR EMA
1.1367

Trend Hourly Chart
Near term down

Hourly Indicators
Falling

13 HR RSI
31

14 HR DMI
-ve

Daily Analysis
Consolidation with downside bias

Resistance
1.1420 - Last Tue's high
1.1400 - Y'day's high
1.1350 -Mon's low (now res)

Support
1.1305 - Nov 30 low
1.1267 - Nov 28 low
1.1216 - Nov's (12th) 16-month low

• EUR/USD - 1.1324.. Although euro fell sharply on Mon fm a fresh 2-week high of 1.1443 to 1.1350 due to selloff in cable, price ratcheted higher to 1.1400 at NY open y'day b4 down due to renewed usd's strength n later hit 1.1306 in NY.

• On the bigger picture, despite euro's resumption of LT uptrend fm 2017 near 14-year bottom of 1.0341 to a fresh 3-year peak of 1.2555 in mid-Feb, subse quent selloff to 1.1301 in Aug confirms said major rise has formed a top there. Although euro ratcheted lower to a 16-month trough at 1.1216 in mid-Nov, the rally to 1.1472 in mid-Nov suggests temp. low has been made n retracement twds 1.1500 is likely but a weekly close abv there needed to signal said MT fall has made a low n risk further headway twds 1.1621 in Dec. Below 1.1267 would bring re-test of 1.1216, then one more drop to 1.1187 (61.8% r of 1.0341-1.2555), bull ish convergences' on daily indicators should keep euro abv psychological 1.1000.

• Today, euro's expected fall fm 1.1443 to 1.1306 signals recent erratic rise fm 1.1267 has made a top n consolidation with downside bias remains for weak ness to 1.1305, however, break there needed for re-test of this lvl later this this week. On the upside, only abv 1.1400 indicates pullback over, risks 1.1440.