The dollar attempts to bounce up from 0.9800 have found resistance at 0.9780. (Pivot Orderbook analysis)

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for PREMIUM VERSION HERE to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level4)]

• The dollar attempts to bounce up from 0.9800 have found resistance at 0.9780.
• The market has turned cautious awaiting the results of the US elections.
• USDCHF is under mounting downside pressure – Credit Suisse.

The pair currently trades last at 0.984.

The previous day high was 0.9927 while the previous day low was 0.9837. The daily 38.2% Fib levels comes at 0.9872, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9893, expected to provide resistance.

The US dollar is attempting to set a bottom at 0.9800, following a 2.7% sell-off on the previous three days, although the pair has been unable to extend past 0.9870 previous resistance area. On the daily chart, the USDCHF remains practically flat, trading at 0.9850 at the time of writing.

Market sentiment has turned cautious on Wednesday, as investors await the outcome of the US mid-term elections. Recent news has shown better than expected results for the Democrats, yet with the control of the US Congress and the Government’s agenda still in the air.

On the macroeconomic front, in the absence of key releases, the focus is on Thursday’s US Consumer Prices Index figures. The increasing speculation about a potential dovish pivot by the Federal Reserve has boosted the interest in these figures, and therefore, an unexpected reading might pose a significant increase in dollar volatility.

From a wider perspective, FX analysts at Credit Suisse see the pair under increasing negative pressure: “We think that the downside pressure is mounting. Key support is seen at the 55-day average and the recent price low at 0.9840/38, a close below which would then be seen to trigger a bearish ‘double top’ and likely clear way to 0.9737 next and potentially towards the 200-day average at 0.9616.”

Technical Levels: Supports and Resistances

EURUSD currently trading at 0.984 at the time of writing. Pair opened at 0.9858 and is trading with a change of -0.18 % .

The pair is trading below its 20 Daily moving average @ 0.9978, below its 50 Daily moving average @ 0.9857 , above its 100 Daily moving average @ 0.974 and above its 200 Daily moving average @ 0.9617

The previous day high was 0.9927 while the previous day low was 0.9837. The daily 38.2% Fib levels comes at 0.9872, expected to provide resistance. Similarly, the daily 61.8% fib level is at 0.9893, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 0.9821, 0.9785, 0.9732
• Pivot resistance is noted at 0.9911, 0.9964, 1.0001

[/s2If]
Join Our Telegram Group