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
Mixed
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
Bearish
USD/JPY
Bullish
Gold
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
Oil - US Crude
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
Bitcoin
Mixed
More View more
Real Time News
  • RT @zerohedge: Is The Market Up This Week? Just Ask The Fed's Balance Sheet https://t.co/6p01J9yAZ8
  • $USD: "The US Dollar is making a last-ditch effort to cling onto a key technical support level after dropping 3% from its 2019 high as risk appetite roars and the Fed inflates its balance sheet." - via @DailyFX Full Analysis: https://www.dailyfx.com/forex/fundamental/us_dollar_index/usd_trading_today/2019/12/14/us-dollar-outlook-fx-volatility-rising-from-extreme-lows-usd-levels-to-watch.html https://t.co/87cITJPVQa
  • The $NZD is testing resistance guiding the currency lower against its US counterpart for over two years. Will buyers prevail or be rejected yet again? Get your market update from @IlyaSpivak here:https://t.co/hRsbxhwotM https://t.co/ehlbb43gqd
  • very cool, very legal https://t.co/gsOxPiEdIw
  • $USDCAD is testing slope support into the close of the week with the immediate short bias at risk while above 1.3134/51. Get your USD/CAD technical analysis from @MBForex here:https://t.co/eE9yrNEU80 https://t.co/mszY7ouYRF
  • $EURUSD Daily Pivot Points: S3: 1.0966 S2: 1.1041 S1: 1.1085 R1: 1.116 R2: 1.119 R3: 1.1264 https://www.dailyfx.com/pivot-points?ref=SubNav?utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr
  • The British Pound’s relief rally may still have some room to run: volatility in the $GBP has dropped back to levels typically associated with periods of ‘positive developments’ in the #Brexit process. Get your market update from @CVecchioFX here:https://t.co/uzXRd8y4ck https://t.co/Nxf6opYgLd
  • Forex Update: As of 21:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 1.31% 🇨🇦CAD: 0.12% 🇨🇭CHF: 0.09% 🇪🇺EUR: -0.09% 🇳🇿NZD: -0.11% 🇦🇺AUD: -0.48% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/z0x9cPG1TN
  • Commodities Update: As of 21:00, these are your best and worst performers based on the London trading schedule: Gold: 0.40% Silver: 0.09% Oil - US Crude: -0.47% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/fpuNos9jTO
  • RT @bbands: Most crypto currencies are at or near Bollinger Band Squeeze levels. Time to pay attention.
Euro Outlook: EUR/GBP Broke Congestive Zone. Selloff Ahead?

Euro Outlook: EUR/GBP Broke Congestive Zone. Selloff Ahead?

2019-11-12 08:00:00
Dimitri Zabelin, Junior Currency Analyst
Share:

Euro, EUR/GBP, German ZEW Data – Talking Points

  • Euro may fall if German ZEW data reinforces regional slowdown fears
  • Selloff in Euro could ensue, accelerate EUR/GBP’s downside breakout
  • Asia-Pacific recap: New Zealand inflation expectations sunk NZD/USD

Learn how to use politicalrisk analysis in your trading strategy!

APAC RECAP

The New Zealand Dollar fell against most of its major counterparts and dragged AUD with it after two-year inflation expectations for Q4 showed a softer price growth projection ahead of the RBNZ rate decision. The 1.80 percent figure failed to meet and exceed the prior 1.86 percent print, prompting sellers to unload their Kiwi exposure as the prospect of a rate hike was pushed further down the line.

European Economy Outlook: Why German Data Matters

German ZEW Survey Expectations and Current Situation are expected to show -13 and 22.3 prints, lower than their prior releases at -22.8 and -25.3, respectively. The dismal nature of these indicators is reflective of a broader weakness in European growth as the continent contends with trade wars and internal political strife. Inflationary prospects continue to remain gloomy despite the ECB’s rate cuts and introduction of QE.

As the largest economy in the Eurozone, German data commands the attention of traders because of the impact its growth trajectory has for the entire region – although recently France has been outperforming Germany. Economic indicators coming out of the former have been printing at levels not seen since either the Eurozone debt crisis or the 2008 financial crash. A poor data print may therefore spook investors and lead to a selloff in the Euro.

EUR/GBP Outlook

The data may also accentuate EUR/GBP’s decline after the pair broke below the lower bound of the 0.8597-0.8642 congestive range its been stuck in since October 16. However, positive RSI divergence signals that upside momentum is picking up. Traders may closely watch how this technical conflict manifests itself. Looking ahead, if the downside breakout is met with follow-through, it may prompt a selloff until the pair hits support at 0.8491.

EUR/GBP – Daily Chart

Chart showing EUR/GBP

EUR/GBP chart created using TradingView

EURO TRADING RESOURCES

--- Written by Dimitri Zabelin, Jr Currency Analyst for DailyFX.com

To contact Dimitri, use the comments section below or @ZabelinDimitrion Twitter

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

DISCLOSURES

News & Analysis at your fingertips.