EUR/USD Forecast: 1.0460 first, parity then


The American dollar staged a strong comeback this week, particularly against a weaker EUR, erasing most of the last 3-week gains of the common currency. In fact, the pair aims to close the week well below the 61.8% retracement of these latest weeks advance at 1.0688, a critical resistance level for the upcoming days. 

The third time was not a charm in this case, as the pair faltered in the 1.1000/1.1050 area, before resuming its slide. The weekly chart shows that the technical indicators turned back south after correcting extreme oversold readings, whilst the moving averages remain way far above the current levels to be taken into account, albeit the 20 SMA maintains a sharp bearish tone. In the daily chart, the 20 SMA stands around the 38.2% retracement of the mentioned decline around 1.0830, whilst the technical indicators maintain a bearish tone below their mid-lines, all of which supports additional declines. 

As long as the 1.0690 area contains the upside, the pair should be expected to maintain the bearish strength, with a break below 1.0550, exposing the pair to a retest of 1.0461, this year low. If the level gives up, the next bearish target comes at 1.0320, albeit market players will be eyeing parity as the next probable target. 

Above 1.0700, on the other hand can favor additional gains up to the 1.0830 area, with this last expected to contain the upside next week. 

View Live Chart for EUR/USD


e






Feed news

Latest Forex Analysis


Latest Forex Analysis

Editors’ Picks

EUR/USD extends slide on hawkish Powell comments, trades below 1.1250

EUR/USD bears stay in control as Asian shares take a plunge. The Fed's hawkishness is reverberating throughout global markets, weighing on risk-sensitive currencies. The US dollar is bid in Asia and risk aversion remains in play.

EUR/USD News

GBP/USD: 200-SMA, monthly support test bears post-Fed

GBP/USD battles key supports as sellers poke 1.3460 during early Thursday. The cable pair broke the 200-SMA following the US Federal Reserve’s (Fed) hawkish verdicts. However, clear trading beneath the same becomes necessary to convince the bears.

GBP/USD News

Gold sticks to weekly lows near $1,815 amid firmer yields

Gold price is meandering near one-week lows of $1,813, as the demand for the US dollar remains unabated amid rising two-year Treasury yields. The two-year US rates spike to fresh 23-month highs of 1.192% as the Fed funds futures tumble on expectations of five rate hikes this year.

Gold News

Binance Coin price needs to reclaim $414 to avoid further losses

Binance Coin price must reclaim $414 as support in order for the bulls to target higher levels. BNB may be confronted with a stiff hurdle at the 50% retracement level at $504. However, if Binance Coin fails to slice above $414, the exchange token may drop lower toward the 200 three-day SMA.

Read more

Federal Reserve rate cycle to begin in March, markets reverse on warning Premium

The Federal Reserve kept its rate policy on schedule, indicating in its statement and Chair Jerome Powell’s press conference that it will raise the fed funds rate at the March meeting for the first time in three years. 

Read more

Majors

Cryptocurrencies

Signatures