EURUSD – where’s next?

“Greenback towed away by bears, leaving the way for euro’s brief ascension.”

Euro resumes its recovery from lower boundary as greenback experienced intense sell-off towards fresh weekly low. Investors began to layoff some of their greenback holdings after ISM Manufacturing PMI came in lower than expected. This may show the after-effects of Fed raising interest rates aggressively.

Quick recap on EURUSD

The pair remains traded within a descending channel fashion, exerting bear’s dominance in the long run.

EURUSD Weekly Technical Analysis

From weekly perspective, recent rebound from the channel’s lower boundary shows dissonance in between bulls and bears. We expect bulls to steer the pair for the time being.

EURUSD Daily Technical Analysis

From daily perspective, EURUSD is currently testing at 0.9865, one of the key support levels to look up for in terms of further extension towards the upside.

Trading Idea

ORDER: SELL LIMIT

ENTRY: 1.0000

STOP LOSS: 1.0220

Target 1: 0.9775

Target 2: 0.9660

ZFX Analyst’s Comment

While EURUSD shows some promising bullish moves, we still expect the pair to continue its long-term downtrend.

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Risk Warning: The above content is for reference only, and does not represent ZFX’s position. ZFX does not assume any form of loss caused by any trading operations carried out in accordance with this article. Please be firm in your thinking and do the corresponding risk control.

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