The Euro has fallen for the past two weeks and we now wait to see whether support can be established. Sentiment has swung back toward neutral and the next week or two will be critical in determining the longer-term direction. Read More on eurusd.co
The start of a new downtrend for the Euro?
As expected, the Euro rally ran finally lost momentum and is now looking for support between 1.0605 and 1.067. We may see a bounce in the next few days and then an indication of whether the longer-term downtrend, or the medium-term uptrend will continue. Read More on eurusd.co
Too Many Dollar Bulls
The Euro had its biggest rally in weeks as slightly bullish news for the Euro forced USD bulls to liquidate positions. The Euro is now overbought and should reverse some of those gains unless unexpected news changes the outlook. Read More on eurusd.co
The End of the Trump Trade?
The Euro extended its gains as Trump’s healthcare bill failed. This leaves the Euro on the verge of turning bullish on the longer-term charts, whilst also very overbought in the short term. Look for a potential correction back to 1.0740 this week, followed by decision time for the Euro bulls. Read More on eurusd.co
A Bear Market Rally for the Euro
The Euro has broken out of a trading range, but is losing momentum at 1.0720. The overall bias is still bearish, but we will need to watch the price action carefully to find the best entry point. A retracement to 1.0624 may give us a clue as to the direction for the week. If the pair can hold above that level it would be bullish for the Euro, whereas a break below 1.0624 will be USD bullish. Read More on eurusd.co
Waiting for News and Data
The market is stuck in a tight range ahead of key data and potential news flow affecting both the USD and the EUR. Any unexpected data or news is likely to trigger a breakout and increased volatility. While the bias is still bearish, the larger moves may well be to the upside if long dollar positions are liquidated. Read More on eurusd.co
Dollar Strength Being Called into Question
The market is beginning to question just how strong the dollar should be. While the trend remains down, sharp moves are being triggered by minor events which indicate that traders are just not sure. Volatility is expected to increase as US fiscal policy is debated, while political risk in Europe adds fuel to the fire. Read More on eurusd.co
EUR/USD Analysis – 17 February 2017
On Wednesday, the Euro rallied. The rally pulled back from resistance at 1.0677 and is currently establishing support at 1.0640. The market’s outlook has been bullish for the dollar. But Trump administration actions may change this. US policy is at the focus of market’s attention in the coming months. Read More on eurusd.co