Corona Virus
Stay Safe, FollowGuidance
Fetching Location Data…
Christopher Lewis

The Euro fell a bit during the trading session on Thursday as we continue to see yields in the United States climb. This was exacerbated slightly during the Asian session due to the fact that there are reports that the Joe Biden stimulus package might be over $2 trillion. That of course will have people demanding more yields for bonds, so in a perverse reaction we would see a short-term push into the US dollar. With that being the case, it will naturally weigh upon the Euro, which is essentially the “anti-US dollar.” All things been equal though, there are plenty of reasons to think that this pair may find buyers underneath.

EUR/USD Video 15.01.21

The first area of major support would be the 50 day EMA which is just below, but beyond that we also have the 1.20 level, which is the top of a 100 PIP range of support that was previously so resistive for the market. All things being equal, I think that buyers will show up at one of these levels, and especially the 1.20 level as it is so obvious. To the upside, the 1.23 level will be an area that people need to pay attention to, as it shows massive resistance extending all the way to the 1.25 handle. If we can break through all of that, then it would be a strong sign for the Euro longer-term, which of course could send this market much higher levels. That is the base case scenario for a lot of pundits out there, but we have a lot of work to do before that kicks off. In the meantime, one would have to assume that we continue to go back and forth.

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

75% of retail CFD investors lose money

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

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

  • Your capital is at risk
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.