Today we direct our attention to one of traders’ favorite, the EUR/USD currency pair.
The pair is expected to move with some volatility today as there are a number of reports we are expecting. In Europe there is a lot of data released today, notably the European Central Bank’s Monetary Policy Meeting Accounts, as well as bond auctions from France and Spain (the last one is particularly interesting, since Spain’s issue with Catalonia have been a major factor in dragging stocks down).
From the United States we are expecting new figures on the natural gas availability, unemployment claims, trade balance statistics, and more. Not to mention that there are still developing stories around Trump’s proposed tax bill, as well as speculation about the next head of the Federal Reserve who will replace Yellen, which both serve as major factors in shaping investors’ sentiment on the dollar.
On the daily chart we have a clear pivot point for the EUR/GBP at 1.1764. As long as prices stay above it, we can hope for further bullishness in the pair. There are nearby resistances at 1.1781, 1.1804, and 1.1821. If the price falls below the pivot, expect retreats to the support levels at 1.1741, 1.1724, and 1.1701.
As of this article’s publication, the pair is trading around 1.1771, well above the pivot point. Currently all technical indicators recommend a strong sell on the EUR/USD.
