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
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
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
Bearish
More View more
Real Time News
  • Bank of Indonesia sees inflation accelerating approaching year-end -BBG $USDIDR
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 98.17%, while traders in France 40 are at opposite extremes with 83.13%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/RpQZwUbVwz
  • Have you joined @DailyFX @facebook group yet? Discuss your #forex strategies and brush up on your skills with us here: https://t.co/jtY1G7g8yx https://t.co/UWPRK19UFF
  • US Dollar Technical Forecast: USD/SGD, USD/MYR, USD/PHP Rates $USDSGD #USDMYR #USDPHP - https://www.dailyfx.com/forex/technical/article/special_report/2019/11/22/US-Dollar-Technical-Forecast-USDSGD-USDMYR-USDPHP-Rates.html?CHID=9&QPID=917702 https://t.co/Qa2IToFSOC
  • Forex Update: As of 05:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.07% 🇬🇧GBP: 0.06% 🇪🇺EUR: 0.05% 🇦🇺AUD: 0.01% 🇨🇦CAD: 0.01% 🇨🇭CHF: -0.05% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/Cx3mHxtekq
  • Indices Update: As of 05:00, these are your best and worst performers based on the London trading schedule: Germany 30: 0.19% US 500: 0.18% Wall Street: 0.16% France 40: 0.08% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/6LnLASL3Ho
  • China's President Xi Jinping: Says China's economy development has had huge resilience -BBG citing Xinhua
  • #Gold prices may rise along with the $SEK and $NOK if the ECB and FOMC minutes fuel rate cut bets and boost the appeal of non-interest-bearing assets and riskier currencies. Get your market update from @ZabelinDimitri here: https://t.co/LFpNQ4OwLG
  • Overnight index swaps are now pricing in about a 50.1 percent probability of a 25bp #RBNZ rate cut at the May 2020 monetary policy announcement $NZDUSD
  • The $GBP has remained quite steady as general election campaigning begins in earnest. Can it remain so given the huge #Brexit differences between candidates? Find out from @DavidCottleFX here:https://t.co/3ftWj2HhLJ https://t.co/igUoZZiqlH
EUR/USD Traders Look to FOMC for Direction

EUR/USD Traders Look to FOMC for Direction

2017-06-12 13:30:00
Walker England, Forex Trading Instructor
Share:

Talking Points:

The EUR/USD is trading slightly higher for Monday, as traders look ahead to a loaded economic calendar for the week. First, EUR/USD traders will be looking forward to the release of German Zew Survey figures on Tuesday. Expectations are set for this event at 21.8. This will be followed by Wednesday’s FOMC rate decision. Expectations are looking for a potential increase in rates to 1.25%. Traders should note that both of these events have the ability to increase market volatility, and potentially influence the direction of currency pairs such as the EUR/USD.

Technically, the EUR/USD continues to trade off of its standing 2017 high found at 1.1285. At present, the pair may be seen graphically challenging its 10 day EMA (exponential moving average) at 1.1221. This line is currently acting as a value of short term resistance, and if the EUR/USD is set to trend higher traders should look for a price close above this value. In the event of a bearish reversal, traders should look for a turn in the market near present levels. This opens the EUR/USD to retest the previous May swing low, which is found at 1.1109.

New to the Forex market? Read our beginner trading guides here

EUR/USD Daily Chart & Averages

EUR/USD Traders Look to FOMC for Direction

(Created Using IG Charts)

Why and how do we use IG Client Sentiment in trading? See our guide.

Traders should finally note that sentiment totals for the EUR/USD remain at extremes. For Monday, IG Client Sentiment reads at -2.40, with 71% of traders remaining short the currency pair. Despite this value being unchanged from last week, this sentiment reading suggests that the EUR/USD may continue to trade higher. In the event of a breakout to new highs, traders should look for IG Client Sentiment to remain net-short. However, in the event of a price reversal, traders should also look for sentiment figures to reverse back towards more neutral readings.

EUR/USD Traders Look to FOMC for Direction

--- 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.