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. See our updated Privacy Policy here.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
EUR/USD Bear Flag in Focus Amid Growing Risk for Euro-Zone Recession

EUR/USD Bear Flag in Focus Amid Growing Risk for Euro-Zone Recession

David Song, Strategist

Talking Points:

- EUR/USD Bear Flag Remains in Play Even as Germany Cuts 2014,201 GDP Forecast.

- GBP/USD Bearish RSI Momentum Continues to Take Shape as U.K. CPI Disappoints.

- USDOLLAR to Face More Fed Rhetoric; Retail Sales & Beige Book to Highlight Growth Concerns?

For more updates, sign up for David's e-mail distribution list.


EUR/USD Daily Chart
  • Looks as though a bearish flag pattern is taking shape in EUR/USD as it carves a string of higher-lows even as Germany cuts its 2014 growth forecast to 1.2% from an initial forecast of 1.8%.
  • Will look for a continuation of the long-term bearish trend once the Relative Strength Index (RSI) breaks the near-term upward momentum.
  • Despite the recent volatility in the DailyFX Speculative Sentiment Index (SSI) retail crowed remains net-long EUR/USD as the ratio currently stands at +1.14.


GBP/USD Daily Chart
  • GBP/USD slips to a fresh monthly low of 1.5903 as U.K. Consumer Price Index (CPI) narrows to 1.2% from 1.5% in August to mark the slowest pace of growth since September 2009.
  • Even though U.K. Jobless Claims are projected to decline another 35.0K in September, Average Weekly Earnings may have a greater impact on the British Pound amid the weakening outlook for inflation.
  • Despite the lower-low in price, seeing the RSI retains the bullish momentum carried over from September; need the oscillator to dip back into oversold territory to favor a further decline in GBP/USD.

Join DailyFX on Demand for Real-Time SSI Updates Across the Majors!

Read More:

Price & Time: A "Healthy" Decline in USD/JPY?

Sustained Surge in FX Volatility Goes Beyond Isolated Event Risk

USDOLLAR(Ticker: USDollar):





Daily Change (%)

Daily Range (% of ATR)

DJ-FXCM Dollar Index






EUR/USD Bear Flag in Focus Amid Growing Risk for Euro-Zone RecessionUSDOLLAR Daily Chart

Chart - Created Using FXCM Marketscope 2.0

  • Dow Jones-FXCM U.S. Dollar Index remains at risk for a larger correction should we continued to see failed attempts to close above the 11,050 pivot.
  • U.S. Advance Retail Sales expected to show a 0.2% decline following a 0.6% rise in August; will Fed’s Beige Book highlight a weakening outlook for growth?
  • 10,869 (78.6% retracement) to 10,887 (61.8% retracement) remains on our radar, followed by 10, 752 (38.2% expansion) to 10,759 (61.8% retracement).

Join DailyFX on Demand for Real-Time SSI Updates!





NFIB Small Business Optimism (SEP)




Click Here for the DailyFX Calendar

--- Written by David Song, Currency Analyst

To contact David, e-mail 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.