EURUSD – Euro Poised for Declines Vs US Dollar

Key Highlights

• The Euro failed once again to settle above 1.0600 against the US Dollar, and remains at a risk.

• There are two bearish trend lines with resistances at 1.0600 and 1.0640 on the 4-hours chart of EUR/USD, acting as a hurdle.

• Today, the Euro Zone Consumer Confidence for Feb 2017 will be released by the European Commission, which is forecasted to remain at -6.2.

• In Australia today, the Company Gross Operating Profits for Q4 2016 (QoQ) released by the Australian Bureau of Statistics posted an increase of 20.1%, better than the forecast.

EURUSD Technical Analysis

The Euro remained under the 1.0600 resistance area against the US Dollar, and it looks like the EURUSD pair might continue to face sellers on the upside near 1.0600 and 1.0640.

There was a move above the 1.0600 resistance, and a bearish trend line on the 4-hours chart recently. However, it turned out to be a false move, as the pair moved back below 1.0600.

On the upside, there is another resistance at 1.0640 in the form of a bearish trend line. It holds a lot of value, as is coincides with the 100 and 200 simple moving average (H4).

As long as the pair struggles to make a sustained move above 1.0640, there can be additional losses in the short term. On the downside, an initial support is seen at 1.0550, followed by 1.0520.

Interested in EURUSD technicals? Check out the key levels