#EURUSD @ 1.05603 trades with a mild negative bias for the fourth successive day on Friday.

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER 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_level1)]

• EUR/USD trades with a mild negative bias for the fourth successive day on Friday.

The pair currently trades last at 1.05603.

The previous day high was 1.0574 while the previous day low was 1.0522. The daily 38.2% Fib levels comes at 1.0542, expected to provide support. Similarly, the daily 61.8% fib level is at 1.0554, expected to provide support.

The EUR/USD pair struggles to capitalize on the previous day’s bounce from the 1.0520 area, or over a one-week low and edges lower during the Asian session on Friday. Spot prices trade with a mild negative bias for the fourth straight day, albeit manage to hold just above mid-1.0500s.

A modest uptick in the US Treasury bond yields acts as a tailwind for the US Dollar (USD), which, along with the European Central Bank’s (ECB) dovish outlook, turns out to be a key factor acting as a headwind for the EUR/USD pair. Despite signs of easing inflationary pressures in the US, the Federal Reserve (Fed) is expected to stick to its hawkish stance and keep rates higher for longer in the wake of the resilient US economy.

The bets were reaffirmed by the US macro data released on Thursday, which showed that the economy expanded by a 4.9% annualize pace during the third quarter as compared to the 4.2% growth estimated. Furthermore, the US Durable Goods Orders shot up by 4.7% in September, also beating market expectations. This, along with the European Central Bank’s (ECB) dovish outlook, continues to weigh on the EUR/USD pair.

As was anticipated, the ECB decided to leave rates unchanged, ending its unprecedented streak of 10 consecutive increases in borrowing costs amid rising concerns over eurozone growth. In the post-meeting press conference, ECB President Christine Lagarde said that growth was likely to remain weak over the remainder of the year as the impact of higher interest rates was broadening, though did not rule out another rate increase.

Traders, meanwhile, seem reluctant to place aggressive bearish bets around the EUR/USD pair ahead of the release of the US Core PCE Price Index – the Fed’s preferred inflation gauge. The data will influence market expectations about the Fed’s future rate-hike path, which, in turn, will drive the USD demand and provide a fresh impetus to the major. Nevertheless, spot prices remain on track to register modest weekly losses.

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0559 at the time of writing. Pair opened at 1.0563 and is trading with a change of -0.04 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1.0561, 50 SMA 1.0666, 100 SMA @ 1.0821 and 200 SMA @ 1.0815.

The previous day high was 1.0574 while the previous day low was 1.0522. The daily 38.2% Fib levels comes at 1.0542, expected to provide support. Similarly, the daily 61.8% fib level is at 1.0554, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.0532, 1.0501, 1.048
• Pivot resistance is noted at 1.0584, 1.0605, 1.0636

[/s2If]
Download Nehcap EAWe have two EAs that are operational on our LIVE accounts.

1. EA-FIX: Check out the details here. Download EA-FIX . EA-FIX is a non-grid HFT scalper.
2. EA-GROWTH: High quality low dd EA using trend grids. Download EA_GROWTHJoin Our Telegram Group

Share this:

• Facebook
• X

Like this:

Like Loading...