EUR/USD Mid-Session Technical Analysis for June 22, 2020

The Euro is edging higher against the U.S. Dollar on Monday as investors continued to battle over whether to respond to recovering economic indicators or concerns about a second-wave of COVID-19 infections in the week ahead.

Analysts at Barclays said in a note that gains in the Euro are possible if the Purchasing Managers index due on Tuesday beats expectations.

Traders also said the trade was shaky as divisions among European Union leaders over how to structure a planned COVID-19 recovery fund kept investors wary.

At 13:07 GMT, the EUR/USD is trading 1.1226, up 0.0048 or +0.43%.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart. A trade through 1.1168 will signal a resumption of the downtrend, while a move through 1.1422 will change the main trend to up.

The minor trend is also down. A trade through 1.1353 will change the minor trend to up. This will also shift momentum to the upside.

On the downside, the first support is the 50% level at 1.1146, followed by the Fibonacci level at 1.1082.

The minor range is 1.1422 to 1.1168. It retracement zone at 1.1295 is the primary upside target.

Daily Swing Chart Technical Forecast

The current inside move suggests investor indecision and impending volatility.

Taking out Friday’s high at 1.1254 could create the upside momentum needed to challenge 1.1295.

A break through 1.1168 will indicate the selling is getting stronger. This is followed by 1.1146. If this level fails then look for a possible acceleration into 1.1082.

For a look at all of today’s economic events, check out our economic calendar.