EUR/USD Outlook: Downbeat EU IP data may add to recovery stall signals

EURUSD

Tight consolidation after Tuesday's rally keeps recovery limited for now and fails to benefit from positive signal on bullish outside day, left on Tuesday. Weaker dollar on renewed risk appetite on optimism over US/China trade talks, maintains positive sentiment, with fresh bullish momentum and stochastics' reversal from oversold territory, adding to positive signals. On the other side, south-heading daily MA's in full bearish setup and forming multiple bear-crosses, maintain pressure. Recovery stays so far under pivotal Fibo barrier at 1.1355 (38.2% of 1.1514/1.1257), break of which would ease existing bearish pressure and open way for further recovery. Downbeat EU IP (Dec m/m -0.9% vs -0.4% f/c) data may further weaken near-term structure and signal an end of recovery.

Res: 1.1341; 1.1355; 1.1367; 1.1386
Sup: 1.1300; 1.1289; 1.1257; 1.1215

EURUSD

 

Interested in EURUSD technicals? Check out the key levels

    1. R3 1.1447
    2. R2 1.1394
    3. R1 1.1363
  1. PP 1.131
    1. S1 1.1279
    2. S2 1.1226
    3. S3 1.1195

 

The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.