News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bullish
Oil - US Crude
Bearish
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bullish
GBP/USD
Bullish
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • Seems there is some surprise on reports (from NYT) that President-Elect Biden will not reverse the Phase One trade deal and tariffs on China. The international mood towards China is particularly cool. Now, relations with Canada and Mexico or the EU over Airbus is another matter
  • The bull flag pattern is a great pattern to add to a forex trader's technical arsenal. Explosive moves are often associated with the bull flag. Learn more about the bull flag pattern here: https://t.co/yOEvLjKnct https://t.co/EyHrHRYZfA
  • IGCS hints that #gold may reverse higher as the #SP500 aims for new highs. Things are looking a little bit more choppy for the growth-linked Australian Dollar. Check out my full report with webinar recording here - https://www.dailyfx.com/forex/technical/article/special_report/2020/12/02/Gold-Price-SP-500-AUDUSD-Forecast-How-Might-Retail-Traders-Behave-Next.html?CHID=9&QPID=917702&utm_source=Twitter&utm_medium=Dubrovsky&utm_campaign=twr https://t.co/8ueRCILgdY
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.48%, while traders in EUR/USD are at opposite extremes with 76.40%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/cVNpB5eeUn
  • President-Elect Joe Biden: Says won't immediately remove China phase-one tariffs, want to conduct full review of existing deal -BBG citing NYT
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.06% 🇨🇭CHF: 0.04% 🇪🇺EUR: 0.02% 🇬🇧GBP: -0.04% 🇨🇦CAD: -0.07% 🇯🇵JPY: -0.09% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/R2Yhd6rNKp
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: US 500: -0.26% France 40: -0.37% Germany 30: -0.41% Wall Street: -0.42% FTSE 100: -0.46% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/hQtLQEWzDp
  • 🇯🇵 Consumer Confidence (NOV) Actual: 33.7 Previous: 33.6 https://www.dailyfx.com/economic-calendar#2020-12-02
  • What are some key news and factors affecting the #crudeoil market? Get your free forecast for this quarter here:https://t.co/WM6X6ENFM2 https://t.co/binmbAIkei
  • Heads Up:🇯🇵 Consumer Confidence (NOV) due at 05:00 GMT (15min) Previous: 33.6 https://www.dailyfx.com/economic-calendar#2020-12-02
EUR/USD Initiates Another Bearish Sequence Ahead of FOMC Meetingv

EUR/USD Initiates Another Bearish Sequence Ahead of FOMC Meetingv

2017-09-14 19:26:00
David Song, Strategist
Share:

Sign Up for the DailyFX Trading Webinars for an opportunity to discuss potential trade setups.

EUR/USD may continue to exhibit a bullish behavior as the European Central Bank (ECB) appears to be on course to taper its quantitative easing (QE) program, but the pair may face a larger pullback ahead of the Federal Open Market Committee (FOMC) interest rate decision on September 20 as it starts to carve a series of lower highs & lows.

Even though the ECB continues to carry out its QE program, it seems as though the Governing Council will gradually move away from its easing-cycle as officials pledge preserve the zero-interest rate policy (ZIRP) ‘well past the horizon of our net asset purchases.’ The fresh remarks from President Mario Draghi and Co. suggest the central bank will alter the monetary policy outlook as ‘the current positive cyclical momentum increases the chances of a stronger than expected economic upswing,’ and it seems as though the Governing Council will continue to tolerate the appreciation in the Euro exchange rate as ‘the ongoing economic expansion provides confidence that inflation will gradually head to levels in line with our inflation aim.’

In contrast, the FOMC may show a greater willingness to carry the current policy into 2018 especially as Hurricane Harvey and Irma disrupt the economic recovery. In turn, Chair Janet Yellen and Co. may cast a cautious outlook and highlight a more shallow path for the Fed Funds rate as U.S. households continue to face subdued wage growth.

EUR/USD Daily Chart

EUR/USD Daily Chart

DailyFX 3Q Forecasts Are Now Available

EUR/USD may face a larger pullback after failing to test the 1.2130 (50% retracement) hurdle as it breaks the monthly opening range and initiates a fresh series of lower highs & lows. A close below 1.1860 (161.8% expansion) may open up the 1.1770 (100% expansion) area, with the next region of interest coming in around 1.1670 (50% retracement), which lines up with the August-low (1.1662). EUR/USD may face a more meaningful correction should both price and the Relative Strength Index (RSI) struggle to preserve the bullish formations carried over from earlier this year.

EUR/USD Retail Sentiment

EUR/USD Retail Sentiment

See how shifts in EUR/USD retail positioning are impacting trend- Click here to learn more about sentiment!

Retail trader data shows 36.8% of traders are net-long EUR/USD with the ratio of traders short to long at 1.72 to 1. In fact, traders have remained net-short since April 18 when EUR/USD traded near 1.08475; price has moved 9.8% higher since then. The number of traders net-long is 3.5% lower than yesterday and 36.1% higher from last week, while the number of traders net-short is 6.6% lower than yesterday and 21.2% lower from last week.

For More Updates, Join DailyFX Currency Analyst David Song for LIVE Analysis!

--- Written by David Song, Currency Analyst

To contact David, e-mail dsong@dailyfx.com. Follow me on Twitter at @DavidJSong.

To be added to David's e-mail distribution list, please follow this link.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES