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.

Free Trading Guides
EUR/USD
Bearish
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
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
GBP/USD
Mixed
USD/JPY
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
More View more
Real Time News
  • AUD/USD has had the most impressive show of trend over the past couple of months with the pair gaining almost 1500 pips from the March low. Get your $AUDUSD technical analysis from @JStanleyFX here: https://t.co/vLz4Rpln3u https://t.co/AOwnJja5V8
  • Has the #Euro been saved? Find out from @CVecchioFX here: https://t.co/eiXfOTyGa6 https://t.co/AyRiYpb4cN
  • U.S. Market Analyst at https://t.co/JsVsSmefgR, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEbwiy https://t.co/ygwjGNvS61
  • The $USD, Euro, British Pound and Australian Dollar will all be at the mercy of political developments in Asia, Europe and North America this week. An avalanche of PMI data will set the backdrop. Find out from @ZabelinDimitri here: https://t.co/L8cfAgVx94 https://t.co/THWhPAS6AM
  • The price of #gold plunged 1% immediately after the stunning US jobs report crossed the wires. Get your market update from @RichDvorakFX here: https://t.co/8i0L6YIqjy https://t.co/y9dIXazJf9
  • S&P 500, Dow Jones, Nasdaq explode higher with stocks surging in response to shockingly better-than-expected monthly jobs data. Get your #equities market update from @RichDvorakFX here: https://t.co/nuMVWOzzuC https://t.co/M3nGBjd7kZ
  • The record-breaking NFPs increase behind us and the FOMC rate decision on Wednesday sets the tone for my trading video: 'Dow Soars Above 200-Day Average on NFPs, Will the #Fed Keep the Dollar Sliding' https://www.dailyfx.com/forex/video/daily_news_report/2020/06/06/Dow-Soars-Above-200-Day-Average-on-NFPs-Will-the-Fed-Keep-the-Dollar-Sliding.html?ref-author=Kicklighter&QPID=917719&CHID=9 https://t.co/kquvec5HVc
  • Seasonal factors, oversupply issues and the outbreak of COVID-19 has seen the price of liquefied #naturalgas (LNG) fall to 22-year lows (1.519), with the situation exacerbated by ‘fuller-than-normal’ storage facilities. Get your market update here:https://t.co/VOqfkBQ4aR https://t.co/OsaphmqEmu
  • Are recent gains in the Indian Rupee and Nifty 50 warranted? Risks are brewing in the background, leaving USD/INR in a consolidative setting as the Nifty pressures resistance. Get your $USDINR market update from @ddubrovskyFX here:https://t.co/svDaSdprvN https://t.co/kgddX1ZHe4
  • I approve of this dry humor. https://t.co/b42GmIZDlL
EUR/USD Extends Losses on Yellen's Commentary

EUR/USD Extends Losses on Yellen's Commentary

2016-11-18 12:49:00
Walker England, Forex Trading Instructor
Share:

Talking Points:

The EUR/USD is currently bouncing off of lows of the day, and has declined as much as 272 pips for this week’s trading. This move has predominantly been predicated on recent speculation that the US Federal Reserve will hike rates in December. Janet Yellen has helped perpetuate this speculation with her statement yesterday that a rise in rates may come “Fairly Soon.”

Technically this decline has been denoted with the EUR/USD closing lower in the preceding 9 trading session. If the pair closes higher for Friday, this should be seen as significant as it would be the first sign that the EUR/USD may be supported in the short term. As such, traders should continue to earnestly watch today’s current low at 1.0581 for confirmation of a trend continuation or reversal.

EUR/USD Daily Chart

EUR/USD Extends Losses on Yellen's Commentary

(Created Using TradingView Charts)

Intraday, the EUR/USD may be considered range bound. As seen below, the pair remains locked between key values of pivot support and resistance. Pivot support is found today at the S3 pivot at 1.0590. So far prices have tested this point, but have failed to significantly break below them. If the pair remains supported here, it opens the EUR/USD to trade back towards resistance. This includes the R3 pivot found at 1.0660.

In the event that prices begin to trade lower, it should be noted that bearish breakouts may be signaled beneath the S4 pivot at 1.0565. A move through this point would place the EUR/USD at new daily lows and would likely set the pair up to close lower for the 10th consecutive session. Alternatively bullish breakouts may be signaled over 1.0694. A reversal in the trend to this point, would be seen as a rejection of current bearish momentum and may suggest a broader pullback for the pair.

EUR/USD 30 Minute with Pivots

EUR/USD Extends Losses on Yellen's Commentary

(Created Using TradingView Charts)

Lastly, traders tracking sentiment should note that current SSI (Speculative Sentiment) readings for the EUR/USD stand at +2.25. With 69% of traders long the EUR/USD, this is typically used as a contrarian signal used to confirm an ongoing downtrend. If the EUR/SUD continues to decline, it would be expected to see this total remain near present extremes. Alternatively if the pair does begin to retrace, we may expect to see SSI readings move back towards more neutral totals.

EUR/USD Extends Losses on Yellen's Commentary

Copper Price, Daily Chart with 10 Period EMA

(Created Using TradingView Charts)

--- Written by Walker, Analyst for DailyFX.com

To Receive Walkers’ analysis directly via email, please SIGN UP HERE

See Walker’s most recent articles at hisBio Page.

Contact and Follow Walker on Twitter @WEnglandFX.

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

DISCLOSURES

News & Analysis at your fingertips.