EURUSD – renewed strength driven by politics focuses 1.0800/27 targets

EUR/USD

The Euro is in fresh acceleration higher and posts new, marginally higher highs after two-day consolidation was contained above 1.0700 handle.

The single currency received strong support from news of French presidential candidate Macron is leading the election race after winning French TV presidential debate on Monday that eased fears about potential France exit from the EU.

Friday’s long red candle and Monday’s Doji with long upper shadow, did little as bearish signals to intensify downside pressure, as strong post-FED bullish sentiment remains firmly in play.

The pair is eyeing psychological 1.0800 barrier and key resistance at 1.0827 (02 Feb peak, also near 50% retracement of larger 1.1298/1.0339 descend) in extension.

Sustained break here would signal bullish continuation of broader recovery rally from 1.0339 (2017 low).

Overbought slow stochastic on daily chart suggests that the pair may show hesitation ahead of 1.0827 pivot, but no firmer bearish signal seen so far.

Hourly Ichimoku cloud (spanned between 1.0743/50) marks initial support, guarding Monday’s low at 1.0719 and 1.0700 handle.

Rising 10SMA continues (currently at 1.0680) to underpin and should contain extended downticks.

Res:  1.0800; 1.0827; 1.0872; 1.0931
Sup:  1.0758; 1.0743; 1.0719; 1.0700

EURUSD

 

Interested in EURUSD technicals? Check out the key levels

    1. R3 1.0762
    2. R2 1.0754
    3. R1 1.0749
  1. PP 1.0741
    1. S1 1.0736
    2. S2 1.0728
    3. S3 1.0723

 

The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.