EURUSD: Mildly Bearish

Jim Langlands FX Charts

EURUSD: 1.1791

Preferred Strategy: EurUsd had a choppy session, rising ahead of the US data and reaching a high of 1.1859, just as it was released, before turning lower, with most of day’s gains quickly given back as US yields recovered. At the end of the session, the dollar is back at 1.1790 and with the short term momentum indicators beginning to look a little heavy we might see a further decline today, where support will now be at 1.1780/85, beyond which could extend to 1.1740, which should be strong but below which would open the way back to 1.1700.

The daily momentum indicators do suggest that further gains are possible in the days ahead though, and above the session high would find good sellers at 1.1880/85, beyond which would allow a run towards 1.1900.

For the coming session I prefer to look to sell into strength, with a SL placed above 1.1880

Sell EurUsd @ 1.1830. SL @ 1.1885, TP @ 1.1740.

24 Hour: Mildly Bearish		Medium Term: Neutral – Mildly Bullish? – Prefer to sell rallies
FX Charts Position:	Short – SL above 1.1880
Resistance		Support
1.1900	Minor	1.1784	Session low /(23.6% of 1.1553/1.1859)
1.1886	(61.8% of 1.2091/1.1553)	1.1760	Minor
1.1880	12 Oct high	1.1740/35	(38.2% of 1.1553/1.1859)/100 DMA
1.1857/59	20 Oct high/Session high	1.1700	Minor
1.1830	Minor	1.1660	14 Nov low

Economic data highlights will include:

German WPI, EU CPI, US Jobless Claims, Import/Export Index, Capacity Utilisation, Industrial Production, Philadelphia Fed Mfg Survey, NAHB Housing Market Index

Author

Jim Langlands

FX Charts

Jim Langlands began his trading career in the commodities markets in London in 1976, before moving to Australia in 1979 to work as a floor trader on the Sydney Futures Exchange.

EUR/USD hits two-day highs near 1.1820

EUR/USD picks up pace and reaches two-day tops around 1.1820 at the end of the week. The pair’s move higher comes on the back of renewed weakness in the US Dollar amid growing talk that the Fed could deliver an interest rate cut as early as March. On the docket, the flash US Consumer Sentiment improves to 57.3 in February.

GBP/USD reclaims 1.3600 and above

GBP/USD reverses two straight days of losses, surpassing the key 1.3600 yardstick on Friday. Cable’s rebound comes as the Greenback slips away from two-week highs in response to some profit-taking mood and speculation of Fed rate cuts. In addition, hawkish comments from the BoE’s Pill are also collaborating with the quid’s improvement.

Gold climbs further, focus is back to 45,000

Gold regains upside traction and surpasses the $4,900 mark per troy ounce at the end of the week, shifting its attention to the critical $5,000 region. The move reflects a shift in risk sentiment, driving flows back towards traditional safe haven assets and supporting the yellow metal.

Crypto Today: Bitcoin, Ethereum, XRP rebound amid risk-off, $2.6 billion liquidation wave

Bitcoin edges up above $65,000 at the time of writing on Friday, as dust from the recent macro-triggered sell-off settles. The leading altcoin, Ethereum, hovers above $1,900, but resistance at $2,000 caps the upside. Meanwhile, Ripple has recorded the largest intraday jump among the three assets, up over 10% to $1.35.

Three scenarios for Japanese Yen ahead of snap election

The latest polls point to a dominant win for the ruling bloc at the upcoming Japanese snap election. The larger Sanae Takaichi’s mandate, the more investors fear faster implementation of tax cuts and spending plans.

XRP rally extends as modest ETF inflows support recovery

Ripple is accelerating its recovery, trading above $1.36 at the time of writing on Friday, as investors adjust their positions following a turbulent week in the broader crypto market. The remittance token is up over 21% from its intraday low of $1.12.