EURUSD: 1.0921
Having gapped higher on the back of the French election result, the Euro is now back at just above session lows of 1.0915, and with the momentum indicators looking rather mixed it would appear that we may have some choppy consolidation ahead of us.
On the topside, resistance will be seen on an approach towards 1.1000 and at the high of 1.1020, although with the short term momentum indicators looking rather negative I would doubt that we head back above 1.1000 in the coming session. If wrong, a break of 1.1020 would see little resistance until the channel top at 1.1055 and then the Fibo level at 1.1070, and beyond that there is little to stop the Euro heading on to the 9 November spike high at 1.1300.
On the downside, if we head back below the session low and then see a break of 1.0900, minor support will be seen at the 4 May low of 1.0875, and stronger support seen at 1.0835 and 1.0820. Below here would see a move to close the chart gap from the 1st round of the French election, taking us back towards 1.0730 although that remains some way off.
Cautiously trading from the short side appears the way to go given that the dailies have formed a bearish engulfing candle although there is little data today to cause too much volatility. A strong reading from the US Wholesale Inventories would emphasize the chances of a June Fed rate hike, which may then underpin the dollar.
24 Hour: Prefer to sell rallies | Medium Term: Neutral | ||
Resistance | Support | ||
1.1070 | (76.4% of 1.1300/1.0340) /Weekly cloud base | 1.0913/15 | (23.6% of 1.0570/1.1020) Session low |
1.1055 | Channel top | 1.0900 | Minor |
1.1020 | Session high | 1.0875 | 4 May low |
1.1000 | Psychological | 1.0851 | 26 Apr low |
1.0950 | Minor | 1.0820 | 24 Apr low |
Economic data highlights will include:
German Industrial Production, Trade Balance, US NFIB Business Optimism Index, Wholesale Inventories
Interested in EURUSD technicals? Check out the key levels
All content on this website, www.fxcharts.com.au (FX Charts PL) is a personal view only and offers absolutely no guarantee as to the correctness or otherwise of that opinion. The content here is of a “general nature” only and does not constitute personal or investment advice. The FX Charts website is not an inducement to trade Foreign Exchange (FX). No liability whatsoever is accepted for any loss or damage that may result, directly or indirectly, from any , comment, opinion, information or omission, whether negligent or otherwise, within the FX Charts Website. The information and any opinion or outlook expressed in this commentary may be based on assumptions or market conditions and may be liable change at any time, without notice.
Recommended Content
Editors’ Picks
EUR/USD extends gains above 1.0700, focus on key US data
EUR/USD meets fresh demand and rises toward 1.0750 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
GBP/USD extends recovery above 1.2500, awaits US GDP data
GBP/USD is catching a fresh bid wave, rising above 1.2500 in European trading on Thursday. The US Dollar resumes its corrective downside, as traders resort to repositioning ahead of the high-impact US advance GDP data for the first quarter.
Gold price edges higher amid weaker USD and softer risk tone, focus remains on US GDP
Gold price (XAU/USD) attracts some dip-buying in the vicinity of the $2,300 mark on Thursday and for now, seems to have snapped a three-day losing streak, though the upside potential seems limited.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.