Richard Perry
Independent Analyst
EUR/USD
The repeated swings higher and lower over recent sessions reflect a highly nervous market, lacking certainty. It shows false signals are likely and despite the market ticking higher early today, we should not be overly confident of any trending moves. There are huge fundamental newsflow events in the coming days (ECB, US GDP, US election) which leave it likely that these daily swings could continue. Momentum indicators retain a positive bias (have done since the break above 1.1830 last week) but this is a difficult market to navigate right now. Initial support at 1.1785 needs watching as a close below would open a move back lower once more. A close above 1.1880 opens 1.1900/1.1915. whilst our preference is for a weaker dollar, the negative market sentiment is preventing this move from trending EUR/USD higher.
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