FXOpen
The Euro (EUR) inched lower against the US Dollar (USD) on Friday, dragging the price of EURUSD to less than 1.0650 following the release of some key economic news. The technical bias remains bearish because of a lower low and lower high in the recent wave.
Technical Analysis
As of this writing, the pair is being traded near 1.0643. A support can be seen around 1.0552, the intraday low of yesterday ahead of 1.0518, the swing low of the last major downside move as demonstrated in the given below daily chart. A break and daily closing below the 1.0518 support shall incite renewed selling pressure, validating a move towards the 1.0000 which is the parity level.
On the upside, the pair is expected to face a hurdle near 1.0666, the intraday high of yesterday ahead of 1.0685, the short term horizontal resistance area and then 1.0905, a major horizontal resistance. The technical bias shall remain bearish as long as the 1.1300 resistance area is intact.
Eurozone Unemployment
The euro area (EA19) seasonally-adjusted unemployment rate was 9.8% in October 2016, down from 9.9% in September 2016 and from 10.6% in October 2015. This is the lowest rate recorded in the euro area since July 2009. The EU28 unemployment rate was 8.3% in October 2016, down from 8.4% in September 2016 and from 9.1% in October 2015. This is the lowest rate recorded in the EU28 since February 2009. These figures are published by Eurostat, the statistical office of the European Union.
Trade Idea
Considering the overall technical and fundamental outlook, selling the pair around current levels appears to be a good strategy in short to medium term.
Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Stay ahead of the market!
Subscribe now to our mailing list and receive the latest market news and insights delivered directly to your inbox.
Latest articles
An Important Bullish Pattern Forms on the NIO Share Price Chart
Today, the share price of NIO Inc. (NIO), a Chinese manufacturer of "smart" electric vehicles, is trading above $4 – a development that may be viewed as an optimistic scenario following the drop to $3 in the first half of April,
S&P 500 Chart Analysis Ahead of the Busiest Week of Earnings Season
Despite the fact that President Trump’s earlier decision to impose tariffs (at higher rates than expected) shook the stock markets, the S&P 500 index (US SPX 500 mini on FXOpen) could still end April without significant losses
USD/CAD Consolidates
In the second half of April, the USD/CAD chart has shown a decline in volatility following significant spikes observed since February.
The Canadian dollar has stabilised against the US dollar within the 1.390–1.380 range over the