EURUSD Outlook: The Euro extends recovery, supported by risk aversion/weaker than expected US retail sales

Slobodan Drvenica Windsor Brokers

EURUSD

The Euro stands at the front foot in early US trading on Monday and extends bullish acceleration which started at the beginning of European session. Fresh risk aversion helped single currency to fully reverse Friday's losses and generate bullish signal on return above daily cloud, with advance being additionally boosted by weaker than expected US retail sales in September, which deflated the dollar. Fresh advance pressures Friday's high (1.1610) reinforced by falling 20SMA, with firm break here to expose 1.1623/27 (50% of 1.1815/1.1432 / 100SMA and 1.1668 (Fibo 61.8%) in extension. Close above daily cloud is required to keep bulls in play.

Res: 1.1610; 1.1627; 1.1668; 1.1724
Sup: 1.1574; 1.1545; 1.1538; 1.1529

Interested in EURUSD technicals? Check out the key levels

1. R3 1.1679
2. R2 1.1645
3. R1 1.1602
PP 1.1568
1. S1 1.1526
2. S2 1.1492
3. S3 1.1449

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

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