FXOpen
The Euro (EUR) inched lower against the US Dollar (USD) on Monday, decreasing the price of EURUSD to less than 1.1650 following some key economic events. The technical bias has however turned bullish because of a higher high in the recent upside rally.
EUR/USD Technical Analysis
As of this writing, the pair is being traded near 1.1640. On the downside, a support can be noted around 1.1632 (a key horizontal support) ahead of 1.1629 (the low of the last major downside move) and then 1.1600 (the confluence of horizontal support as well as psychological number) as demonstrated in the given below chart.
On the upside, a hurdle may be noted around 1.2100 (a short-term horizontal resistance area as well as psychological number) ahead of 1.2176 (a major horizontal resistance) and then 1.2200 (the psychological number). The technical bias shall remain bullish as long as the 1.0839 support area is intact.
US Consumer Sentiment
U.S. consumer sentiment tumbled in early November, though the index remained at the second-highest level of the year so far. The University of Michigan’s index of consumer attitudes fell to 97.8 in November, well below the expectations of a survey of Reuters economists, who forecast no change from the 100.7 level at the end of October. The measure soared to 101.1 on Oct. 13—the highest level since 2004—and has been consistently deflating since then.
Trade Idea
Considering the overall technical and fundamental outlook, selling the pair around current levels may be a good strategy in short to medium term.
Trade global forex with the Innovative Broker of 2022*. Choose from 50+ forex markets 24/5. Open your FXOpen account now or learn more about trading forex with FXOpen.
* FXOpen International, Innovative Broker of 2022, according to the IAFT
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.
Latest from Forex Analysis
Latest articles
Market Analysis: The Yen and European Currencies Headed to New Lows
The main currency pairs began the last five-day trading period of September with a new wave of growth for the American currency. Changes in the Fed's point forecast for next year provided powerful support to the dollar, which, in turn,
Market Analysis: US Federal Reserve Contemplates Future Interest Rate Hikes Amid Economic Resilience
In an intriguing turn of events, the US Federal Reserve has hinted at the possibility of yet another interest rate hike in the near future, keeping financial markets on their toes. During its September 2023 meeting, the Federal Reserve chose
USD/JPY Analysis: For the First Time This Year, the Rate Exceeds 149 Yen Per Dollar
The reason for the stable trend, as we have repeatedly pointed out, is the difference in the monetary policy of the USA and Japan. Inflation in Japan has been above 2% for more than a year, and the media are