As expected, the agreement to reduce production was extended by 9 months. The OPEC countries and other major oil-producing countries that had joined the agreement earlier agreed to extend the agreement while maintaining the same production volumes.
This decision was, for the most part, already taken into account in prices, and investors were waiting for something more from this meeting.
As a result, by the end of yesterday's trading day Brent crude oil lost 5.4% (or 2.8 dollars) to the opening price of the trading day, falling below the mark of 51.90 dollars per barrel. The EUR / USD pair reacted quite moderately to the dynamics of oil prices. With the opening of today's trading day there is a mixed dynamics in the pair EUR / USD. The decline in the Asian session has been replaced by growth since the opening of the European session.
The pair EUR / USD keeps positive dynamics, trading in the upward channels on the 4-hour and daily charts. A pair of EUR / USD from the decline is supported by short-term support levels of 1.1180, 1.1155 (144 and 200-period moving averages on the 1-hour chart). Technical indicators on the 1-hour, 4-hour, daily charts are on the buyers side.
It should be noted, however, that since the beginning of the month, the EUR / USD pair is trading in the range between levels 1.1180 and 1.1260. Breakdown of the lower limit of the range and support levels of 1.1180, 1.1155 will cause a further decline in the EUR / USD pair.
Nevertheless, the positive dynamics of the EUR / USD pair persists, as well as the 1.1280 target (Fibonacci level of 23.8% of corrective growth from the lows reached in February 2015 in the last wave of global decline from 1.3900), 1.1340 (144- Period moving average on the weekly chart).
Today the US publishes several important macroeconomic indicators. At 12:30 (GMT), the revised value of the GDP index for the first quarter, orders for durable goods for April will be published.
If the value of GDP (the second estimate) is revised upward, the dollar will grow in the foreign exchange market. If the indicators come out weaker than expected, this will lead to a decrease in the dollar, including the EUR / USD pair.
It must also be taken into account that this is the last full week this month.
Support levels: 1.1200, 1.1180, 1.1155, 1.1120, 1.1100, 1.1020, 1.1000, 1.0950, 1.0840
Resistance levels: 1.1265, 1.1280, 1.1340
Trading recommendations
Sell Stop 1.1190. Stop-Loss 1.1255. Objectives 1.1170, 1.1120, 1.1100, 1.1020, 1.1000, 1.0950, 1.0840
Buy Stop 1.1255. Stop-Loss 1.1190. Objectives 1.1280. 1.1340, 1.1400
EURUSD Current Trading Positions
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