EUR/USD Mid-Session Technical Analysis for December 13, 2018

The Euro is trading lower but in a range controlled by a series of retracement levels. Furthermore, traders are showing little reaction to the European Central Bank’s decision to leave interest rates unchanged. Additionally, the ECB did announce it would end its massive bond-buying program at the end of the month. Both moves were largely expected.

At 1400 GMT, the EUR/USD is trading 1.1344, down 0.0025 or -0.22%.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. A trade through 1.1444 will change the main trend to up. A move through 1.1267 will reaffirm the downtrend.

The minor trend is also down. It turned down on Wednesday when sellers took out 1.1306. This shifted momentum back to the downside.

The major retracement zone that has been controlling the price action for weeks is at 1.1447 to 1.1185.

The minor retracement levels range from 1.1315 to 1.1395. Inside this zone is a pair of 50% levels at 1.1345 to 1.1370.

Daily Swing Chart Technical Forecast

Based on the earlier price action, the direction of the EUR/USD the rest of the session is likely to be determined by trader reaction to the 50% level at 1.1345.

Bullish Scenario

A sustained move over 1.1345 will indicate the presence of buyers. This could lead to a retest of levels at 1.1370 then 1.1395.

The trigger point for an acceleration to the upside is 1.1395. Taking out this level could trigger a surge into 1.1444 to 1.1447.

Bearish Scenario

A sustained move under 1.1345 will signal that the selling pressure is getting stronger. This could drive the EUR/USD into a support cluster at 1.1315 to 1.1305.

Look for an acceleration to the downside under 1.1305 with the next major target coming in at 1.1267.