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
GBP/USD
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
More View more
Real Time News
  • Slippage can be a common occurrence in forex trading but is often misunderstood. Understanding how forex slippage occurs can enable a trader to minimize negative slippage, while potentially maximizing positive slippage. Learn about FX slippage here: https://t.co/Blrl0unrdT https://t.co/mIsVJ4zTbB
  • What is your forex trading style? Take the quiz and find out: https://t.co/YY3ePTpzSI https://t.co/hymrumanUY
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfs2Iz https://t.co/6dAqxsVfxJ
  • The results of this weekend’s German Federal Election will likely dominate Euro sentiment at the start of the week ahead but after a possible EUR/USD bounce they will have little long-term impact. Get your weekly $EUR forecast from @MartinSEssex here: https://t.co/Xu3ZT7EtrW https://t.co/5VHKn52MaA
  • The Consumer Price Index, better known by the acronym CPI, is an important economic indicator released on a regular basis by major economies to give a timely glimpse into current growth and inflation levels. Learn how to better understand CPI here: https://t.co/nAa0fHq4Np https://t.co/mf9rsmIvaW
  • A currency carry trade involves borrowing a low-yielding currency in order to buy a higher yielding currency in an attempt to profit from the interest rate differential. Find out if the carry trade suits your trading style here: https://t.co/7t4BzmLg8w https://t.co/mYWO0Eta0P
  • Sterling continues to contract into trend extremes and the focus is on a pending breakout in the weeks ahead. Get your weekly $GBP technical forecast from @MBForex here: https://t.co/ZvEMQuFjSs https://t.co/rMmq9cehnY
  • Japanese candlesticks are a popular charting technique used by many traders, and the shooting star candle is no exception. Learn about the shooting star candlestick and how to trade it here: https://t.co/mfwJ0sZLTs https://t.co/tm4k3IVzHr
  • 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
EUR/USD Technical Analysis: Euro Perched at Key Trend Barrier

EUR/USD Technical Analysis: Euro Perched at Key Trend Barrier

Ilya Spivak, Head Strategist, APAC

EUR/USD TECHNICAL ANALYSIS: BEARISH

  • Euro testing key support after upswing is rejected near 1.10 figure
  • Break of support under 1.08 would probably expose March bottom
  • Trader sentiment studies warn a bullish disposition may be firming

The Euro was knocked back lower after a test of resistance near the 1.10 figure, with prices now testing rising trend support limiting the downside for nearly a month. Making the case for lasting weakness probably calls for a move through that to close under the lower bound of the 1.0783-1.0880 zone.

The swing low at 1.0636 might be back in play in that scenario. Alternatively, a rebound that allows EUR/USD to establish a foothold above the 1.0992-1.1009 region could pave the way for another challenge of the March 27 high at 1.1147.

Euro vs US Dollar price chart - daily

EUR/USD daily chart created with TradingView

The four-hour chart offers a sense of more immediate price levels of significance. A preliminary break of rising trend support seems to have played out already but the 1.0848-54 zone is holding back further weakness for now. The 1.0901-25 congestion band marks immediate resistance.

EUR/USD Technical Analysis: Euro Perched at Key Trend Barrier

EUR/USD 4-hour chart created with TradingView

EUR/USD TRADER SENTIMENT

Retail positioning data shows 55.65% of traders are net-short, with the long-to-short ratio at 1.25 to 1. IG Client Sentiment(IGCS) is typically used as a contrarian indicator, sothe net-short skew in tradersexposure suggests that EUR/USD is biased upward.

In fact, the net-short tilt appears to be growing. Just over 10 percent more traders are betting on Euro weakness today than yesterday. Their ranks are up 33.16 percent relative to a week ago. That seemingly makes for a strengthening sentiment-based bullish trading bias.

Euro vs US Dollar price, trader sentiment

See the full IGCS sentiment report here.

EUR/USD TRADING RESOURCES

--- Written by Ilya Spivak, Currency Strategist for DailyFX.com

To contact Ilya, use the comments section below or @IlyaSpivak on Twitter

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

DISCLOSURES