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
Bullish
GBP/USD
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
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
Gold
Mixed
Oil - US Crude
Bullish
Bitcoin
Mixed
More View more
Real Time News
  • The inside bar pattern occurs regularly within the financial markets. Incorporating the inside bar strategy within a trading system can enhance a trader’s market analysis technique. Find out how you can use it from @WVenketas here: https://t.co/E3EWOYTYNw https://t.co/4uin0kDraz
  • Commodities Update: As of 11:00, these are your best and worst performers based on the London trading schedule: Silver: 0.43% Gold: 0.37% Oil - US Crude: -0.55% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/n5FH8VIcAN
  • Forex Update: As of 11:00, these are your best and worst performers based on the London trading schedule: 🇬🇧GBP: 0.31% 🇨🇭CHF: 0.23% 🇪🇺EUR: 0.16% 🇯🇵JPY: -0.01% 🇳🇿NZD: -0.07% 🇦🇺AUD: -0.13% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/6mXD54E7Mm
  • Coming up at half past the hour: my weekly webinar on market sentiment. Do join me if you're free. You can sign up here: https://www.dailyfx.com/webinars/181540619?CHID=9&QPID=917711
  • $NOK underperforming relative to its major counterparts following the Norges Bank Regional Network Report - The report highlighted that growth in the autumn months rose 2.1%, down from 3%.
  • RT @C_Barraud: 🇪🇺 #Eurozone Dec ZEW Expectations Survey: 11.2 v -1.0 prior (1st + reading since Apr 2019; highest since Mar 2018) 🇩🇪 #GERM…
  • RT @LiveSquawk: US NIFB Small Business Optimism Nov: 104.7 (est 103.0 ; prev 102.4)
  • Indices Update: As of 11:00, these are your best and worst performers based on the London trading schedule: US 500: -0.35% Wall Street: -0.41% France 40: -0.58% Germany 30: -1.16% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/FODtVpJAzb
  • LIVE IN 30 MIN: Analyst and Editor @MartinSEssex discusses the most important events and themes that have driven market sentiment and will drive it in the days ahead here - https://www.dailyfx.com/webinars/181540619?CHID=9&QPID=917720
  • USD vs Canadian Dollar Price Forecast: USD/CAD A Pullback or a Comeback? More details in the link below: https://www.dailyfx.com/forex/technical/home/analysis/usd-cad/2019/12/10/USD-vs-Canadian-Dollar-Price-Forecast-USDCAD-A-Pullback-or-a-Comeback-MK.html?CHID=9&QPID=917714 https://t.co/iVS5e7KM5L
EURUSD Weekly Technical Outlook: Euro Weakness to Remain the Theme

EURUSD Weekly Technical Outlook: Euro Weakness to Remain the Theme

2019-05-19 02:00:00
Paul Robinson, Currency Strategist
Share:

EURUSD Technical Highlights:

  • Euro looks headed towards the April low or worse
  • 4-hr chart has a developing structure to pay attention to

Check out the DailyFX Trading Guides page for intermediate-term forecasts, educational content aimed all experience levels, and more.

Euro looks headed towards the April low or worse

To be clear, trading EURUSD lately hasn’t been an easy endeavor as low volatility conditions continue to be a headwind for traders. We’ve seen some movement in other majors (GBPUSD in particular) but not in the most widely traded pair. That will eventually change, but until it does we have to continue to take what is presented to us and be patient with set-ups.

With that said, the general trading bias remains the same as it has for months – lower. Trend and price action continue to be supportive of this bias. A run on the April low at 11109 or worse looks to be in store sometime in the coming sessions, but the path could be a little shaky.

Dialing in a bit closer to the 4-hr time-frame, a channel is becoming visible even if it isn’t perfect, with candlestick wicks clouding the picture. A small bounce from the lower parallel may make for the best scenario, as the lower parallel’s importance is further cemented and a nearby low is created in the process.

A bounce and subsequent breakdown could offer a solid structure (see 4-hr chart) for would-be shorts from both a probability and risk/reward standpoint. Selling right here at support puts one at risk of a bounce with good stop placement difficult to determine.

A bounce that carries the euro beyond 11225 will give pause to sellers and bring into play the area around 12265 (recent highs/trend-lines) and possibly become an even more attractive spot to short. The bottom line is that the Euro looks headed lower, but it may pay to sit tight and wait for a better look before entering new positions. If currently in a short from higher levels, then one could use the aforementioned highs and trend-lines to manage risk accordingly.

Check out the IG Client Sentiment page to find out how changes in positioning in major markets could signal the next price move.

EURUSD Daily Chart (April low, 11000s could be soon)

EURUSD

EURUSD 4-hr Chart (Channel/Bear-flag)

EURUSD

Helpful Resources for Forex Traders

Whether you are a new or experienced trader, we have several resources available to help you; indicator for tracking trader sentiment, quarterly trading forecasts, analytical and educational webinars held daily, trading guides to help you improve trading performance, and one specifically for those who are new to forex.

---Written by Paul Robinson, Market Analyst

You can follow Paul on Twitter at@PaulRobinsonFX

Looking for a fundamental perspective on The Euro ? Check out the Weekly EUR Fundamental Forecast

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

DISCLOSURES

News & Analysis at your fingertips.