Tactics and Analysis, August 22, 2017 – Euro Continues to Create Theatre

The Euro has seen plenty of reversals the past two weeks, but it has held onto the higher realms of its value. The Euro’s trend continues to look positive in the short-term and the Jackson Hole meetings later this week will likely have an impact on forex.

Twists and Turns of Euro

The EUR/USD has produced turns and twists the past two weeks of trading.

However, the Euro has maintained it higher values against the U.S Dollar. Yesterday the European currency proved again that it can reverse from lows and traverse higher.

Early trading this morning has seen the Euro come under slight pressure, but the 1.18 level remains visible against the U.S Dollar.

Euro’s Trend Higher Evident

German data today, and Manufacturing Purchasing Managers Indexes from the European Union tomorrow will have only limited impact on forex the next two days. A mid-term chart shows the Euro’s momentum.

Traders are anticipating the Jackson Hole Symposium which will be held in the U.S and will be attended by central bank Presidents and Governors from throughout the world starting on Thursday.

Jackson Hole Impact Likely for Euro

The Euro’s recent wave of reversals have provided traders plenty of tests. However, the currency continues to remain near important highs and its upwards direction has been pronounced.

If the Euro maintains short-term support and does not sink below the 1.17 level, it could continue to test higher values against the U.S Dollar in the days to come, particularly if European Central Bank President Mario Draghi makes optimistic statements later this week in Jackson Hole.

In the short term, we believe the Euro may be positive. Mid-term and Long-term we are unbiased.

Yaron Mazor is a senior analyst at SuperTraderTV.

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