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
Real Time News
  • Copper demand continues to outstrip supply, according to the recent update from the International Copper Study Group. Get your $XAG market update from @CVecchioFX here:
  • China to be carbon-neutral by 2060; country will stop building coal-powered projects abroad - BBG
  • Curious to know if this is because a) bailout by Beijing is still widely viewed as the base case scenario if contagion materializes and/or b) recent backstops implemented globally to curb financial market fallout have effectively supplanted left tail risk
  • video uploaded from today's webinar
  • WTI crude rebounded nicely from session lows, now trading at $70.50 $CL #Oil #OOTT
  • RT @ZabelinDimitri: Regarding the Fed dot plot⬇️ "If another two officials were to move up their expectations for a rate increase into 2022…
  • Tonight will see Chinese markets open after a two day closure to observe mid-Autumn festival. Naturally, there will be increased focus and volatility given the current backdrop of Evergrande default concerns. Get your market update from @JMcQueenFX here:
  • RT @RiskReversal: A pretty hot @MacroSetup this week, brought to you by @Nadex and @openexc. @GuyAdami & I warn the young, but mighty @CVec…
  • RT @Nadex: The Macro Setup is back! CNBC’s @GuyAdami, @RiskReversal, and special guest @CVecchioFX discuss: -Evergrande vol hurts everlong…
  • Japanese #Yen Forecast: $USDJPY Breakout Imminent- #FOMC Levels -
EUR/USD Technical Analysis: Downturn Brewing Ahead?

EUR/USD Technical Analysis: Downturn Brewing Ahead?

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 may be building out a bearish Rising Wedge chart formation
  • Negative RSI divergence bolters the case for an on-coming downturn

The Euro has advanced to the highest level in two months against the US Dollar but signs of a possible reversal lower may be starting to emerge. Price action appears to be taking the shape of a typically bearish Rising Wedge formation. Negative RSI divergence bolsters the case for a downside scenario.

A daily close below the would-be wedge floor – now at 1.0673 – would initially see the next major support level at 1.0518. Alternatively, a push above resistance in the 1.0827-51 area (38.2% Fibonacci retracement, October 25 low) would open the door for a test of the 50% level at 1.0978.

Current positioning does not offer an actionable short trade setup at this time. A clear-cut bearish reversal signal is conspicuously absent and the Wedge pattern can only be confirmed after its floor has convincingly given way. With that in mind, opting to observe from the sidelines seem prudent.

Will the Euro continue to rise through the first quarter of 2017? See our forecast and find out!

EUR/USD Technical Analysis: Downturn Brewing Ahead?

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