Advertisement
Advertisement

EUR/USD Prediction for September 1, 2016

By:
David Becker
Updated: Sep 1, 2016, 04:46 UTC

The EUR/USD rebounded from session lows, following softer than expected manufacturing data released in the U.S. morning.  Prices were able to hold support

EUR/USD Prediction for September 1, 2016

The EUR/USD rebounded from session lows, following softer than expected manufacturing data released in the U.S. morning.  Prices were able to hold support levels near the 200-day moving average at 1.1118.  Resistance is seen near the 10-day moving average at 1.1252.  Momentum has recently turned negative as the MACD (moving average convergence divergence) index generated a sell signal. This occurs as the spread (the 12-day moving average minus the 26-day moving average) crosses below the 9-day moving average of the spread.  The index moved from positive to negative territory confirming the sell signal.

U.S. Chicago PMI dropped 4.3 points to 51.5 in August after dipping 1 point to 55.8 in July. It’s the weakest reading since May’s 49.3. It was 52.9 a year ago. Activity in the region is highly dependent on the fluctuations in vehicle manufacturing.

About the Author

David Becker focuses his attention on various consulting and portfolio management activities at Fortuity LLC, where he currently provides oversight for a multimillion-dollar portfolio consisting of commodities, debt, equities, real estate, and more.

Did you find this article useful?

Advertisement