EUR/USD today: a pair is near significant support
After a mixed tradings on Monday, the pair EUR/USD managed to update the weekly low, justifying partially the forecast for a decline. The opposite direction of the pair was caused by the persistence of risks in the US and the influence of the pound’s dynamics through the cross EUR/GBP.
Events for today:
- 12:00 – announcement of the volume of retail sales in the euro area (m/m).
- 15:30 – release of the US trade balance.
- 17:00 – data on employment and business activity in the United States.
- 23:35 – publication of the weekly stocks of crude oil in the US according to the American Petroleum Institute (API).
After the fundamental factors for the US and Brexit, the market switched and is expecting statistics on business activity, the decline of which weakened European currencies. Despite upcoming data on the US, market is focused on the tax reform in the US and negotiations on Brexit.
The pair EUR/USD is trading near the lower border of the rising channel, which is traced from November, further weakening of the euro against the US dollar will be limited. Because of the uncertainty of the American. Also, do not forget about the fundamental factors of Brexit, which have a significant impact on the euro.
Therefore, the resumption of the uptrend with the further closing of the gap of Monday is expected. Resistance levels: 1.1880-90 and 1.1910-30. The update of yesterday’s low (1.1830) will call into question the closure of the gap. Support levels: 1.1830-20 and 1.1800.
EUR/USD. The current price is 1.1860.
Hanzenko Anton