EURUSD extends to new highs after assist held. What subsequent for the pair?

Earlier in the present day, I posted and talked concerning the EURUSD technicals. I wrote:

• The EURUSD broke increased in the present day with a transfer above a swing space between 1.0448 and 1.0461 and the 61.eight% of the transfer down from the December excessive (at 1.0456). Going ahead, staying above that space is extra bullish. ON the topside, there’s a swing space between 1.0532 to 1.0543.

The worth within the US morning session corrected decrease, BUT it did discover assist patrons close to the excessive of the swing space at 1.0461. The low worth fell to a low of 1.0466 and bounced. Bulls and patrons are in management. Dip patrons leaned in opposition to the break level.

What now? What subsequent going into the shut and into the brand new week?

On the draw back, the story stays the identical with the 1.0448 to 1.0461 is the important thing stage. Transfer beneath, and I’d anticipate patrons flip to sellers on the frustration from the break.

Keep above the breakpoint at 1.0448 to 1.0461 and the topside could be additional explored/probed.

The subsequent goal (as outlined within the earlier submit) is at 1.05325 to 1.05433. Transfer above that, and 1.05926 to 1.0609 might be focused adopted by the December excessive at 1.06293. Get above that, and the 100 day MA is at 1.06952 as is the 50% midpoint of the transfer down from the EURUSD 2024 excessive to the low reached in January. Put a star in your chart at that space.

Subsequent week, the ECB and the Fed each meet. The expectation is that the Fed stays unchanged and the ECB is expecte to chop. That ought to weaken the EURUSD. That ought to hold a lid on the pair. So sellers might take a look at 1.0532 to 1.0543 for a spot to promote with stops above.

Nonetheless, tales can change.

• Waller final week was extra dovish.
• Trump has demanded decrease charges.

A lot depends on inflation and progress. Trump says he’ll carry it down. Will the guarantees result in outcomes, through which case the greenback might proceed the transfer decrease. The technicals assist to supply the clues to the markets bias shifts.

This text was written by Emma Wang at www.ubaidahsan.com.



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