Weekly Technical Outlook: EUR/USD ; Market Forecasts for June 12th – June 16th

• Resistance level 1.1282
• Pivot Level 1.1194
• Support Level 1.1106, 1.1035, and 1.0970

Technical Analysis

The EUR/USD pair attempted to breach 1.1282 levels and kept the stability of the daily close below it until the end of the week.

This keeps the correctional bearish trend scenario valid until now and waits to resume the bearish wave that targets 1.1106 followed by 1.1035 levels on the near term basis.  It is important to note that retesting 1.1194 levels will complete conformation, which will push the price for short term trading at 1.1282 directly before any new attempts are made to change the directions.

Since these levels represent the next trend keys, the price action signals a two bar reversal and bearish momentum with negative stability below the resistance area. The stochastic settles clearly within the 66.0 areas to gather the negative momentum and confirms attempts to reach the waited target.

Therefore, our bearish trend expectations will remain valid on the short term basis and the targets begin by surpassing 1.1106 levels as the next main station. Breaching the levels after retesting will turn the price to the bearish channel again and pushes the trading to the downside on the short and medium term basis.

Economic

• Industrial Production, Trade Balance
• Labour cost, Consumer Price Index
• Consumer Price Index, Fed’s Monetary Policy Statement, Retail Sales
• Fed Interest Rate Decision, FOMC Press conference, Philadelphia Fed Manufacturing Survey, Continuing Jobless Claims
• Initial Jobless Claims, Building Permits, Michigan Consumer Sentiment Index

Area of Interest

• Strong resistance at 1.1282 area and closed below resistance levels.
• Bearish two bar reversal rejection on trend line.
• Price action closed below trend line and oscillator below 66.0 levels indicating shift in momentum.
• At Flip Area on Daily time frame resistance levels.

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