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
GBP/USD
Mixed
USD/JPY
Bullish
Gold
Bearish
Oil - US Crude
Bullish
Bitcoin
Bearish
More View more
Real Time News
  • Heads Up:🇪🇺 EUR ECB President Lagarde Speaks in Frankfurt due at 08:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2019-11-22
  • 🇪🇺 EUR German Gross Domestic Product w.d.a. (YoY) (3Q F), Actual: 0.5% Expected: 0.5% Previous: 0.5% https://www.dailyfx.com/economic-calendar#2019-11-22
  • 🇪🇺 EUR German Gross Domestic Product n.s.a. (YoY) (3Q F), Actual: 1,0% Expected: 1.0% Previous: 1.0% https://www.dailyfx.com/economic-calendar#2019-11-22
  • The $JPY has posted some rare gains against the US Dollar on its daily chart, but important channel support still holds on an intraday basis. Keep a close eye on it now. Get your market update from @DavidCottleFX here:https://t.co/ReMGzu6OjP https://t.co/FkSEGuro3T
  • 🇪🇺 EUR German Gross Domestic Product w.d.a. (YoY) (3Q F), Actual: 1% Expected: 0.5% Previous: 0.5% https://www.dailyfx.com/economic-calendar#2019-11-22
  • Heads Up:🇪🇺 EUR German Gross Domestic Product w.d.a. (YoY) (3Q F) due at 07:00 GMT (15min), Actual: N/A Expected: 0.5% Previous: 0.5% https://www.dailyfx.com/economic-calendar#2019-11-22
  • Heads Up:🇪🇺 EUR German Gross Domestic Product n.s.a. (YoY) (3Q F) due at 07:00 GMT (15min), Actual: N/A Expected: 1.0% Previous: 1.0% https://www.dailyfx.com/economic-calendar#2019-11-22
  • European Opening Calls From IG: #FTSE 7259 +0.28% #DAX 13166 +0.22% #CAC 5892 +0.18% #MIB 23339 +0.26% #IBEX 9236 +0.23% #STOXX 3688 +0.21%
  • USD/MXN Technical Analysis: Peso Breaks Down as USMCA Lingers - https://www.dailyfx.com/forex/technical/article/special_report/2019/11/22/USDMXN-Technical-Analysis-Peso-Breaks-Down-as-USMCA-Lingers.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Spivak&utm_campaign=twr #USDMXN #USMCA https://t.co/ZHZWXOGHuW
  • What is a CPI and why does it affect #forex traders? Find out: https://t.co/nGztbG91kc #tradingstyle https://t.co/d06LgWdP50
Bearish EUR/USD Outlook Favored Below Former Support on ECB Policy

Bearish EUR/USD Outlook Favored Below Former Support on ECB Policy

2014-05-30 17:00:00
David Song, Currency Strategist
Share:

Talking Points:

- USDOLLAR Eyes Former Support; Non-Farm Payrolls to Climb 219K

- EUR/USD Coming Up Against Former Support Ahead of ECB Rate Decision

- USD/CAD Fails to Break Out Despite Weak Canada 1Q GDP; BoC Meeting in Focus

The Dow Jones-FXCM U.S. Dollar Index (Ticker: USDollar) may continue to work its way back towards former resistance (10,470) ahead of the highly anticipated Non-Farm Payrolls (NFP) report as the bearish break on the Relative Strength Index (RSI) gathers pace.

Index

Last

High

Low

Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index

10490.82

10506.51

10486

-0.14

70.51%

Indeed, the recent weakness in the dollar may turn into a larger decline as the reserve currency carves a lower-high in May, but a rate cut by the European Central Bank (ECB) paired with another 200+K rise in U.S. NFPs may spur a material shift in the technical outlook should the key event risks deviate from market expectations.

With that said, we will retain a prudent approach going into June as we’ll be watch the monthly opening range take shape, and we may see a sharp rise in market volatility throughout the summer months amid the prospects for a more material shift in the policy outlook.

Bearish EUR/USD Outlook Favored Below Former Support on ECB Policy

Join DailyFX on Demand to Cover Current U.S. dollar Trade Setups

Read More:

Price & Time: Gold What Now?

First Quarter Growth Disappointment Drives the Canadian Dollar Lower

USDOLLAR Daily

Bearish EUR/USD Outlook Favored Below Former Support on ECB Policy

Chart - Created Using FXCM Marketscope 2.0

  • Former Resistance (10,470) in Focus as Bearish RSI Break Gathers Pace
  • Interim Resistance: 10,602 (38.2 retracement) to 10,615 (78.6 expansion)
  • Interim Support: 10,354 to 10,375 (50.0 retracement)

Release

GMT

Expected

Actual

Fed's Sandra Pianalto Speaks on U.S. Economy

12:30

Personal Income (APR)

12:30

0.3%

0.3%

Personal Spending (APR)

12:30

0.2%

-0.1%

Personal Consumption Expenditure Deflator (MoM) (APR)

12:30

0.2%

0.2%

Personal Consumption Expenditure Deflator (YoY) (APR)

12:30

1.6%

1.6%

Personal Consumption Expenditure Core (MoM) (APR)

12:30

0.2%

0.2%

Personal Consumption Expenditure Core (YoY) (APR)

12:30

1.4%

1.4%

NAPM-Milwaukee (MAY)

13:00

52.00

63.49

Chicago Purchasing Manager (MAY)

13:45

61.0

65.5

U. of Michigan Confidence (MAY F)

13:55

82.5

81.9

Fed's Jeffrey Lacker Speaks on U.S. Economy

18:00

Fed's Williams, Plosser Speak on U.S. Economy

21:00

Click Here for the DailyFX Calendar

--- 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.

Trade Alongsidethe DailyFX Team on DailyFX on Demand

Looking to use the DailyFX Trade Signals LIVE? Check out Mirror Trader.

New to FX? Watch this Video

Join us to discuss the outlook for the major currencies on the DailyFXForums

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

DISCLOSURES

News & Analysis at your fingertips.