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
Mixed
Wall Street
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
Gold
Bullish
GBP/USD
Bullish
USD/JPY
Mixed
More View more
Real Time News
  • The recent rebound in USD/CAD appears to be stalling ahead of the Federal Reserve’s first meeting for 2021 as it quickly pulls back from a fresh weekly high (1.2782). Get your $USDCAD market update from @DavidJSong here:https://t.co/km0dY2MQ7w https://t.co/wHm6YVqvAs
  • White House plans call with congressional problem solvers caucus on Tuesday to discuss $1.9trillion COVID-19 stimulus bill
  • $GBPCHF has strengthened today, rising from a morning low around 1.2105 to currently trade around 1.2190. The pair is currently testing its highest levels since the onset of the Covid pandemic. $GBP $CHF https://t.co/q2bH28zYi6
  • ECB's Villeroy says we monitor carefully the implications of the exchange rate on the inflation outlook $EUR
  • Forex Update: As of 15:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.63% 🇦🇺AUD: 0.49% 🇬🇧GBP: 0.42% 🇪🇺EUR: 0.29% 🇨🇭CHF: 0.15% 🇯🇵JPY: 0.13% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/SuCtbOvRLU
  • Poll: Which of these extraordinarily volatile and recently popular assets is most disconnected from 'traditional fundamentals' and fully in the hands of the speculative tribe?
  • Indices Update: As of 15:00, these are your best and worst performers based on the London trading schedule: Germany 30: 2.01% France 40: 1.51% FTSE 100: 0.51% Wall Street: 0.15% US 500: 0.09% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/6OgqApsW9T
  • The Conference Board's Consumer Confidence survey edged up with this morning's January reading, but that marginal uptick can't touch the impressive charge of speculative conviction via the likes of the $SPX https://t.co/zztL1tzlfE
  • $AUDUSD has strengthened by around 50 pips this morning, climbing from a morning low below 0.7700 to currently trade around 0.7750, its highest level since last week. $AUD $USD https://t.co/UDJ8i9mifv
  • Italian PM Conte has informed his cabinet that he will resign, which has come ahead of the Senate vote on the justice minister’s annual report, where there had been a risk of a government defeat. Get your market update from @JMcQueenFX here:https://t.co/U3ZTcYF3BH https://t.co/GIZLlT2a5I
EURUSD Short Following Weekly Exhaustion Pattern

EURUSD Short Following Weekly Exhaustion Pattern

Paul Robinson, Strategist

Looking for a longer-term perspective on EURUSD or another currency pair? See our Quarterly Forecasts.

EURUSD rose relentlessly the past few months, but last week it struggled to move beyond a long-term resistance level by way of the 2010 low at 11876. It made a couple of attempts to trade above it but couldn’t hold onto those gains. Friday’s U.S. jobs report was enough to spark heavy selling, and in the process broke a rising wedge on the 4-hr and carved out a weekly reversal bar. This isn’t a call for ‘the’ top, but a period of backing-and-filling is in order. Looking to targets, the 2016 high at 11616 and trend-line rising up from April are in focus.

4-hr

EURUSD Short Following Weekly Exhaustion Pattern

Daily

EURUSD Short Following Weekly Exhaustion Pattern

Weekly

EURUSD Short Following Weekly Exhaustion Pattern

The US Dollar Index (DXY), which the euro makes up about 57% of in weighting, is trading in a major long-term support zone which dates back as far back as 1998. The most recent wave of selling has been the most persistent since topping back in the very beginning of the year. The intensified selling into support suggests we may have seen an exhaustion in the trend, and for a generally stronger dollar in the weeks ahead. It may only turn out to be a recovery bounce before eventually turning lower, but until oversold conditions are worked off the path of least resistance looks at this time more likely to be up for now.

US Dollar Index (DXY): Weekly

EURUSD Short Following Weekly Exhaustion Pattern

Trade Criteria:

Entry: Short at market (currently 11803)

Stop: Above 11910

Target: 11616/trend-line (~11560)

Join Paul in one of his webinars to discuss this set-up and other new developments . See the Webinar Calendar for details.

---Written by Paul Robinson, Market Analyst

You can receive Paul’s analysis directly via email by signing up here.

You can follow Paul on Twitter at @PaulRobinonFX.

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

DISCLOSURES