FXEMPIRE
All
Ad
Advertisement
Advertisement
Christopher Lewis
Add to Bookmarks
EUR/USD

The Euro has shown itself to be somewhat resilient as we have turned around during the trading session on Wednesday after initially dipping lower. The 1.20 level above is probably the next target, so as it is a large, round, psychologically significant figure, and an area that we have seen action at previously. Because of this, I think we will go back to that area to try to retest it, and perhaps even try to break above there. Pay close attention to the US Dollar Index, as it is highly correlated to the Euro as it is the biggest component.

EUR/USD Video 24.06.21

Looking at this chart, I do believe that it is only a matter of time before we have to try some type of move to the upside as the Euro had been oversold, and quite frankly Jerome Powell and the rest of the Federal Reserve are already starting to walk back some of the hawkish talk of last week, which is essentially what sent this market spiraling. As long as they continue to be relatively dovish, it does make a certain amount of sense that this pair ends up recovering right along with everything else.

Advertisement
Know where EUR/USD is headed? Take advantage now with 

Trading Derivatives carries a high level of risk to your capital and you should only trade with money you can afford to lose. Trading Derivatives may not be suitable for all investors, so please ensure that you fully understand the risks involved, and seek independent advice if necessary. A Product Disclosure Statement (PDS) can be obtained either from this website or on request from our offices and should be considered before entering into a transaction with us. Raw Spread accounts offer spreads from 0.0 pips with a commission charge of USD $3.50 per 100k traded. Standard account offer spreads from 1 pips with no additional commission charges. Spreads on CFD indices start at 0.4 points. The information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

At this point, we would have to break down below the 1.1830 level for me to start selling again, at least in the next 24 hours. If we can break above the 1.20 handle, then it is very likely we go looking towards 1.2150 level. I expect volatility and choppy behavior, but I also expect more or less a positive attitude overall for the next several weeks. Ultimately, this is a market that could be offering a nice short-term trade to the upside.

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

Advertisement
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker