EURUSD: The Euro has fallen to meet the rising trend line support on Tuesday

Jim Langlands FX Charts

EURUSD: 1.1746

€/Usd has traded a mostly heavy session after the softer ZEW,/stronger US PPI undermined the Euro although the dollar then gave back some of its gains after headlines came through that Senator Rand Paul feels unable to vote for raising the US budget deficit. We now await the upcoming US CPI and the FOMC/ ECB meetings.

1 hour/4 hour indicators: Turning lower

Daily Indicators: Turning lower

Weekly Indicators: Neutral

Preferred Strategy: The Euro has fallen to meet the rising trend line support on Tuesday, but with the short term momentum indicators now aligning with the daily charts to point a little lower, it seems that we may be looking at further dollar strength ahead. The German/US CPI will be the main focus today, ahead of the FOMC, so a cautious stance is required, but a run below 1.1700 would not really surprise, where 1.1650 would be the next Fibo target.

Resistance		Support
1.1847	6 Dec high	1.1716	Session low / Rising trend support
1.1811	11 Dec high	1.1707	(61.8% of 1.1553/1.1943)
1.1800	100 DMA	1.1690	Minor
1.1792	Minor	1.1650	(76.4% of 1.1553/1.1943)
1.1765	Minor	1.1620	Minor

Economic data highlights will include:

German CPI/HICP, EU Industrial Production, Employment Change, US CPI, FOMC Meeting/Growth Projections

Interested in EURUSD technicals? Check out the key levels

1. R3 1.1862
2. R2 1.1827
3. R1 1.1786
PP 1.1752
1. S1 1.1711
2. S2 1.1676
3. S3 1.1635

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.

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