EUR/USD Retraces Off of Pivot Following Initial Spike Up

Russell Shor, CFTe, MFTA FXCM

The below is the hourly chart of the EURUSD. The currency pair spike up after the French and German PMI data release but was unable to conclusively overcome the R1 pivot. Whilst the German manufacturing PMI data was ahead of forecast, it is still a weak number and importantly may be spilling over into the services sector which is at its lowest reading since Jan 2019. The green 5-hour EMA is now looking to cross below the orange 10-hour EMA (green ellipse) and the RSI is under 50 (blue rectangle). These suggest that a bearish momentum may be building after the intial spike reaction. We continue to monitor.

Past performance is not an indicator of future results.

CHART SOURCE: FXCM MARKETSCOPE 2.0

Author

Russell Shor, CFTe, MFTA

FXCM

Russell Shor (MSTA, CFTe, MFTA) has an Honours Degree in Economics from the University of South Africa and holds the coveted Certified Financial Technician and Master of Financial Technical Analysis qualifications from the Interna

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