EUR/USD today: the dollar is overbought all over the market

Trading on Tuesday opened with a rapid growth of the US dollar across the market mainly due to a reaction to the resumption of activity on the market after a day off in the US. At the same time, the driver of the US dollar’s growth is the risks and negative dynamics of the stock exchanges.

Events for today:

• 15:15 –  inflation report  hearings  in the UK.
• 16:45 –  index of business activity in the manufacturing sector (PMI) (Aug) of the United States.
• 17:00 – US data : ISM index of employment in the manufacturing sector from (Aug) and ISM index of business activity in the manufacturing sector (PMI)  (Aug).

Technically, the pair EUR / USD remains in the correction phase after growth in the middle of August. But also the decline of this pair is limited by oversold, which limits further decline and requires correction.

Significant support is located at 1.1570-50, which corresponds to the lower boundary of the downward channel. From this level, you should expect a break with the test of resistance levels: 1.1600-10 and 1.1630-50. This movement is possible with a general correction of the US dollar. Until this time  a move in flat is expected.

Read also: “Locking Strategy  in the Forex Market”

Hanzenko Anton

Earn with the help of the trade service on the news Erste News!

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