EUR/USD Mid-Session Technical Analysis for July 11, 2017

The EUR/USD is trading flat as investors mark time ahead of Federal Reserve Chair Janet Yellen’s first day of testimony on monetary policy on Wednesday. There are also reports that the rise in sovereign bond yields may be slowing. This could also be making the Euro a less desirable asset today.

Technical Analysis

The main trend is up according to the daily swing chart. A trade through 1.1439 will continue the upside momentum. A move through 1.1445 will signal a resumption of the uptrend. The trend will change to down on a trade through 1.1312.

The short-term range is 1.1445 to 1.1312. Its 50% level or pivot is 1.1379. The level has provided support the last three days. Momentum will shift to the downside if this level fails as support today.

Forecast

Based on the current price at 1.1395 and the earlier price action, two levels come into play today.

Look for a labored rally on a sustained move over the short-term uptrending angle at 1.1392. This could lead to a quick move into a downtrending angle at 1.1405. This angle is a potential trigger point for an acceleration into the next pair of angles at 1.1418 and 1.1425.

The EUR/USD will start to open up to the upside on a sustained move over 1.1425 with the next targets 1.1439 and 1.1445.

A sustained move under 1.1392 will indicate the presence of sellers. This could trigger a break into the pivot at 1.1379. This price is the trigger point for an acceleration into the uptrending angle at 1.1352. This is the last major uptrending angle before the 1.1312 main bottom.

Look for a choppy two-sided trade if the EUR/USD stays inside 1.1405 and 1.1379. Look for an upside bias to develop on a sustained move over 1.1405 and a downside bias on a sustained move under 1.1379.