Skip to Content
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 Technical Analysis: Euro Down Trend Resuming?

EUR/USD Technical Analysis: Euro Down Trend Resuming?

Ilya Spivak, Head Strategist, APAC

To receive Ilya's analysis directly via email, please SIGN UP HERE

Talking Points:

  • EUR/USD Technical Strategy: Flat
  • Euro breaks counter-trend support, hinting at down move resumption
  • Risk/reward considerations argue against taking short trade for now

The Euro may be resuming its longer-term down move against the US Dollar after prices broke support guiding a shallow upswing from November lows. The pair turned higher as expected after testing a major long-term chart barrier near the 1.05 figure.

Near-term support is in the 1.0449-1.0520 area, marked by a support shelf in play since mid-March 2015 and the 38.2% Fibonacci expansion. A daily close below that exposes the 50% level at 1.0318. Alternatively, a reversal above the 23.6% Fib at 1.0611 targets the 14.6% expansion at 1.0711.

Prices are too close to near-term support to justify entering a short trade at current levels from a risk/reward perspective. Opting for the sidelines seems most prudent until the pair offers a more actionable opportunity to trade in line with the dominant bearish trend.

How will the Euro fit into this week’s market themes? Join the weekly outlook webinar and find out.

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