Pivot: 1.1745 (Time of writing EURUSD 1.1705)
Key Resistance: 1.1718 - 1.1739 - 1.1758 - 1.1788 - 1.1820
Key Support: 1.1688 - 1.1665 - 1.1645 - 1.1624 - 1.1610
Day Trading Range: 1.1625 - 1.1745
RSI: The moving around 30 level, from this pair can take some pull back but strong downward momentum.
MACD: loosing scenario & trying to get strong in side.
Moving Average: 200 (1.1724) & 55 (1.1756) both are strong resistance for pair today.
Technical Trade Idea:
Most Likely Scenario: short positions below 1.1745 with targets at 1.1685 & 1.1665 in extension.
Alternative scenario: above 1.1745 look for further upside with 1.1775 & 1.1795 as targets.
The EUR/USD pair created a outside day candle yesterday and could suffer a negative close today on a hawkish interpretation of the Fed policy. The US raised rates by 25 basis point ( bps ) yesterday. More importantly, it removed the word “accommodate” and kept the interest rate dot plot unchanged, triggering speculation that the tightening cycle is nearing an end.
Despite the “dovish” outcome from the Fed, the overall tone remains the same and the reversal last night was telling that there are still buyers in the dollar and we’re seeing more of that now.
Moving forward, the EURO could suffer further in case the German CPI reading due for release at 12:00 GMT has worse than expected outcome while US Greenback could gain further support for its bull run if the US Q2 GDP and August durable goods figure, scheduled for release today has better than expected outcome which would indicate positive economic scenario in US markets.