EUR/USD Down 87 Pips; in an Uptrend Over Past 30 Days

EUR/USD Price Recap

EUR/USD is down 87 pips (0.79%) since yesterday (with its current price near 1.09091), marking the 2nd day in a row a decrease has occurred. The price move occurred on stronger volume, as measured by the number of tick price changes; specifically, yesterday’s volume was up 17.15% from the day prior, and up 21.68% from the same day the week before. Relative to other instruments in the Forex asset class, EUR/USD ranked 24th yesterday in terms of percentage price change. Here is a price chart of EUR/USD.

EUR/USD Technical Analysis

The first thing we should note is that the current price of EUR/USD is sitting close to its 20, 50, 100 and 200 day moving averages; moving average crosses often indicate a change in momentum, so this may be worth keeping an eye on. As for the alignment of the moving averages, well, it’s a bit mixed up; the 20, 50, 100, and 200 do not progress from largest to smallest, or vice versa. The closest is the 50 day average, which is 126.7 pips away. Trend traders will want to observe that the strongest trend appears on the 30 day horizon; over that time period, price has been moving up. For additional context, note that price has gone down 15 out of the past 30 days.

The View From Around the Web

We’re seeing some traders come out with interesting conviction on EURUSD, with 7 buy signals on our radar and 10 sell signals. This imputes a buy/sell ratio of 0.7, which is bearish. As for the rationale, technical traders seem to be citing the appearance of a channel technical pattern. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.

However, leaving long-term trendline resistance (1.6038) unchallenged, price has reversed gains and revisited demand mentioned above at 1.0488/1.0912….This potentially paves the way for further gains today towards clear-cut resistance at 1.0954, with a break exposing the widely watched 1.10 figure and demand-turned supply at 1.1044/1.1024: the origin of the most recent downswing….Structures of Interest:Monthly price seen grasping the top edge of familiar demand at 1.0488/1.0912, daily price turning higher just north of demand at 1.0680/1.0781, H4 price rebounding from a combination of support around 1.0857 and H1 crossing 1.09 to the upside will likely be perceived as a bullish market today.