EUR/USD Mid-Session Technical Analysis for December 13, 2017

The EUR/USD is trading higher ahead of today’s Fed interest rate announcement and monetary policy decision. The Forex pair up ticked after U.S. consumer inflation came in as expected at 0.4%. This creates doubt as to how fast and how frequently the Fed will raise rates in 2018. Euro traders are also prepping for Thursday’s European Central Bank monetary policy decision.

Daily Technical Analysis

The main trend is down according to the daily swing chart. A trade through 1.1717 will signal a resumption of the downtrend with 1.1712 the next target. This is a possible trigger point for an acceleration into the next main bottom at 1.1553.

A major retracement zone at 1.1702 to 1.1610 is the primary downside target and the support zone holding up this market.

On the upside, the retracement levels are layered at 1.1823, 1.1834, 1.1859 and 1.1880.

Daily Technical Forecast

Based on the early action, trader reaction to the downtrending Gann angle at 1.1780 will determine the direction of the EUR/USD the rest of the session.

A sustained move under 1.1780 will indicate the presence of sellers. This could trigger a break into yesterday’s low at 1.1717, followed by a main bottom at 1.1712 and a long-term uptrending Gann angle at 1.1683. This price is a possible trigger point for an acceleration into 1.1610.

Overtaking 1.1780 will signal the presence of buyers. This could trigger a rally but the move is likely to be labored because of the series of retracement levels.