XM Investment Research Team
XM
EUR/USD has been posting some gains in today’s trading so far and remains above the 1.06 level.
The RSI indicator is below but close to the 50 neutral level at 47. This perhaps indicates that should down movement occur in the short-term, it would be contained. The MACD histogram, which is barely negative and below the red signal line, depicts a similar picture to RSI.
The key 1.07 level is likely to act as resistance to upside moves. Should the price break above it, the February 2 ten-week high of 1.0828 would be eyed (note that this close to the 1.08 level which managed to hold against upside moves a few times in the recent past).
On the downside, the current level of the 50-day moving average (MA) at 1.0594 is likely to provide some support. Should it fail to hold, the February 15 one-month low of 1.0521 would come into scope as next immediate support.
As regards the medium-term picture, the pair recorded a bearish cross in late October when the 50-day MA moved below the 200-day one. However, price action taking place above the 50-day MA for the most part since mid-January is challenging the strength of this signal and is setting a bearish to neutral (rather than a purely bearish) signal.
Overall, the short- and medium-term bias is bearish to neutral.
Forex trading and trading in other leveraged products involves a significant level of risk and is not suitable for all investors.
Recommended Content
Editors’ Picks
AUD/USD failed just ahead of the 200-day SMA
Finally, AUD/USD managed to break above the 0.6500 barrier on Wednesday, extending the weekly recovery, although its advance faltered just ahead of the 0.6530 region, where the key 200-day SMA sits.
EUR/USD met some decent resistance above 1.0700
EUR/USD remained unable to gather extra upside traction and surpass the 1.0700 hurdle in a convincing fashion on Wednesday, instead giving away part of the weekly gains against the backdrop of a decent bounce in the Dollar.
Gold keeps consolidating ahead of US first-tier figures
Gold finds it difficult to stage a rebound midweek following Monday's sharp decline but manages to hold above $2,300. The benchmark 10-year US Treasury bond yield stays in the green above 4.6% after US data, not allowing the pair to turn north.
Bitcoin price could be primed for correction as bearish activity grows near $66K area
Bitcoin (BTC) price managed to maintain a northbound trajectory after the April 20 halving, despite bold assertions by analysts that the event would be a “sell the news” situation. However, after four days of strength, the tables could be turning as a dark cloud now hovers above BTC price.
Bank of Japan's predicament: The BOJ is trapped
In this special edition of TradeGATEHub Live Trading, we're joined by guest speaker Tavi @TaviCosta, who shares his insights on the Bank of Japan's current predicament, stating, 'The BOJ is Trapped.'