EUR/USD testing highs near hourly 50-SMA

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Dec 11, 2015.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Oct 7, 2015
    Likes Received:
    FXStreet (Mumbai) - EUR/USD extends higher following a negative start to the European markets, although appears to face stiff resistance at the hourly 50-SMA at 1.0966 on its way to 1.10 barrier.

    EUR/USD bounces-off 5-DMA support

    Currently, the EUR/USD pair gains 0.11% and trades near fresh session highs of 1.0958, heading for a test of hourly 50-SMA. The main currency pair found renewed bids near 1.0930 region, where 5-DMA lies, and swung back into gains after a subdued start on the European stocks boosted the demand for safe-haven in euro. The German DAX drops -0.21%, the UK’s FTSE loses -0.20% while Euro Stoxx 50 declines -0.40% so far.

    Moreover, the US dollar halted its corrective rally and reverted to the negative territory against its major competitors, which also kept the EUR/USD pair underpinned. Markets now prefer to remain on the side-lines ahead of a slew of US macro data, which may spur some volatility in the upcoming US session. The US calendar offers retail sales, PPI and consumer sentiment besides a set of second-tier releases.

    What will 2016 bring to the Forex traders? Attend our Forex Forecast 2016 - The Panel with Ashraf Laidi, Valeria Bednarik, Boris Schlossberg, Adam Button, Ivan Delgado and Dale Pinkert. Register for the live event on Dec. 18th and get the recording too.

    EUR/USD Technical Levels

    The pair regains 1.0950, with the immediate hurdle seen at 1.0966/67 (1h 50-SMA/ daily pivot) beyond which 1.10 (round number) could be tested. On the flip side, the immediate support is seen at 1.0914 (1h 100-SMA/ round number). Selling pressure will intensify below the last, dragging the pair towards 1.0877 (50-DMA).
    For more information, read our latest forex news.

Share This Page

free forex signals