Monday 11th January: Weekly Technical Outlook and Review
According to the US Bureau of Labour Statistics on Friday, total non-farm employment fell by 140,000 in December vs. expectations of a 60,000 rise – the first decline in employment since the job market started to recover in May. The US unemployment rate was unchanged at 6.7% (expected: 6.8%), and average hourly earnings jumped to 0.8% from 0.3% (expected: 0.2%).
Friday 8th January: Technical Outlook and Review
In terms of macroeconomic data, US unemployment claims rose 787k, while the US ISM services PMI came in strongly above expectations at 57.2. It should also be pointed out the US dollar index outperformed, weighing on any EUR/USD upside.
Thursday 7th January: Technical Outlook and Review
The US dollar index (DXY) concluded Wednesday undecided a touch off multi-year troughs. This, in conjunction with EUR/USD H4 resistance at 1.2347, a level supported by a number of key Fibonacci levels (1.2363/1.2340), weighed on the pair during US hours, feeding moves back to the 1.23 figure. South of the round number, traders will acknowledge trend line support, extended from the low 1.1602.
Wednesday 6th January: Technical Outlook and Review
Renewed USD downside (US dollar index < 98.50) provided fresh impetus to EUR/USD Tuesday, with H4 climbing 1.23. Clearing offers around the aforementioned round number swings the pendulum in favour of further gains towards resistance at 1.2347, a level supported by a potential AB=CD pattern (green arrows) and a number of key Fibonacci levels (1.2363/1.2340).
Tuesday 5th January: Technical Outlook and Review
EUR/USD defended 1.23 on the H4, guiding candle action beneath 1.2250 and shining the spotlight on trend line support, taken from the low 1.1602. Also close by are the 38.2% and 61.8% Fibonacci retracement ratios at 1.2213 and 1.2198, respectively, as well as the 1.22 figure.
Monday 4th January: Weekly Technical Outlook and Review
A bout of profit taking and lack of bids witnessed EUR/USD snap a three-day bullish phase off 1.23 Thursday, consequently swinging the pendulum in favour of retesting the 1.22 figure and converging trend line support, taken from the low 1.1602. Also
Tuesday 22nd December: Technical Outlook and Review
Weekly resistance at 1.3503 (the 2018 yearly opening value) making a stand over the past couple of weeks may eventually force price action to lower levels. Weekly support at 1.3250 (the 2020 yearly opening value) made an appearance on Monday.
Monday 21st December: Technical Outlook and Review
Price action on the weekly timeframe, as highlighted in recent technical briefings, also reveals further selling could be on the cards this week. Recent weeks witnessed price elbow through the 2020 yearly opening value at 1.2975 and Quasimodo support coming in at 1.2887. With both 1.2975 and 1.2887 depicting resistance, sustained downside places the 2018 yearly opening value at 1.2579 in the firing line. Also important to note is that long-term flow has been pointing lower since topping in March.
Friday 18th December: Technical Outlook and Review
USD weakness, fuelled by Thursday’s risk-on environment and Fed Chair Powell’s dovish tone in the post-meeting press conference on Wednesday, led EUR/USD to fresh multi-year pinnacles.
