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.

0

Notifications

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

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
Real Time News
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9FlspUVZz https://t.co/FFMy5O9YoY
  • It’s important for traders to be familiar with FX spreads as they are the primary cost of trading currencies. Understand a pair's spread here: https://t.co/zEEUHZBx7g https://t.co/jZHcyAZ5SU
  • Further your forex knowledge and gain insights from our expert analysts on EUR with our free guide, available today: https://t.co/XtydfV5wS6 https://t.co/Iw9haaHAnn
  • The Federal Reserve System (the Fed) was founded in 1913 by the United States Congress. The Fed’s actions and policies have a major impact on currency value, affecting many trades involving the US Dollar. Learn more about the Fed here: https://t.co/ADSC4sr63f https://t.co/raO3gCGqQ6
  • Key levels in forex tend to draw attention to traders in the market. These are psychological prices which tie into the human psyche and way of thinking. Learn about psychological levels here: https://t.co/8A1QhwMVKo https://t.co/rWVlBs6H3c
  • The update to the US Consumer Price Index (CPI) is likely to sway the US Dollar during the Federal Reserve’s blackout period as the central bank braces for a transitory rise in inflation. Get your weekly $USD forecast from @DavidJSong here: https://t.co/JTuP7CLlyi https://t.co/tOvqn3Gdpc
  • Becoming a forex trader means living and breathing the excitement, risk and reward of trading in the biggest and most liquid market in the world. Do you have what it takes? Read here to discover the qualities and processes it takes to build consistency: https://t.co/EfWEACQ6Cz https://t.co/s5dn4ZKnku
  • Becoming a forex trader means living and breathing the excitement, risk and reward of trading in the biggest and most liquid market in the world. Do you have what it takes? Read here to discover the qualities and processes it takes to build consistency: https://t.co/EfWEACyvdZ https://t.co/6VjW5FEiQW
  • Global stocks bounce back from recent pullback as key resistance levels lie ahead. Get your weekly equities forecast from @HathornSabin here: https://t.co/wXSWo1JygD https://t.co/vWVaSEQTXT
  • Do you know how to properly Identify a double top formation? Double tops can enhance technical analysis when trading both forex or stocks, making the pattern highly versatile in nature. Learn more about the double top formation here: https://t.co/t9FlspUVZz https://t.co/9kfBu04auM
EUR/USD Unfinished Uptrend Move, Euro vs US Dollar Price Forecast

EUR/USD Unfinished Uptrend Move, Euro vs US Dollar Price Forecast

Mahmoud Alkudsi, Analyst

EUR/USD Technical Analysis

  • Mind the gaps on EUR vs USD chart
  • Levels and signals to consider

EUR/USD – Bulls in charge

On Friday, Euro rallied against US Dollar to 1.1354 – its highest level in over seven months. The market retreated after, as some bulls seemed to cut back. Yet, the weekly candlestick closed with 2.3% gain.

This week, the Relative Strength Index (RSI) fell 77 to 70 signaling a weaker uptrend move

EUR/USD Daily PRice CHART (JULY 1, 2018 – Mar 11, 2020) Zoomed Out

EURUSD Daily price chart 11-03-20 zoomed out

EUR/USD Daily Price CHART (Sep 25 – Mar 11, 2020) Zoomed in

EURUSD Daily price chart 11-03-20 zoomed in

Looking at the daily chart, we noticed that last week EUR/USD opened with a gap to the upside (breakaway gap) then closed above the 50-day average providing two bullish signals in that day. On Friday, the price moved to a higher trading zone 1.1240- 1.1412 highlighting the bullish outlook of the market.

This week, the price opened with another upward gap (runaway gap) indicating that uptrend move could be far from finished, as we have not seen any exhaustion gap yet. Yesterday, the market failed to move to a higher trading zone. Thus, the price could be on its way for a test of the low end.

A close below the low end of the zone reflects bull’s reluctance. This could lead some of them to exit the market allowing EURUSD to fall towards 1.1108. Further close below 1.1059 may send the price even lower towards 1.0951. That said, the daily and weekly support levels underlined on the chart (zoomed in) should be considered.

On the other hand, any failure in closing below the low end of the zone could mean bull’s comeback, and might cause a rally towards the high end of the zone. Further close above that level may embolden bulls to push towards 1.1508. Yet, the daily resistance area marked on the chart should be kept in focus.

EUR/USD four Hour Price CHART (Jan 29 – Mar 11, 2020)

EUR/USD Unfinished Uptrend Move, Euro vs US Dollar Price Forecast

From the four-hour chart, we noticed that in late February EUR/USD started uptrend move creating higher highs with higher lows. On Monday, the price flirted with 1.1500 handle.

A break above 1.1371 could cause a rally towards 1.1412. Although, the daily resistance underscored on the chart should be monitored. On the flip side, any break below 1.1204 could send the price toward 1.1118. Nevertheless, the daily support level printed on the chart should be watched closely.

See the chart to know more about key technical levels in a further bullish/bearish scenario.

Written By: Mahmoud Alkudsi

Please feel free to contact me on Twitter: @Malkudsi

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

DISCLOSURES