EUR/USD Price Recap
After 4 down days, EUR/USD snaps its streak, rising 77 pips (0.69%) over the past day to close at an exchange rate of 1.11801. The price move occurred on stronger volume, as measured by the number of tick price changes; specifically, yesterday’s volume was up 37.2% from the day prior, and up 334.96% from the same day the week before. Out of the 40 instruments in the Forex asset class, EUR/USD ended up ranking 17th for the day in terms of day-over-day price change. The price chart of EUR/USD below illustrates.
EUR/USD Technical Analysis
Coming into today EUR/USD is now close to its 20, 50, 100 and 200 day averages, located at 1.1064, 1.1043, 1.1066 and 1.11 respectively, and thus may be at a key juncture along those timeframes. 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 200 day average, which is 80.4 pips away. It should be noted, though, the 100 day simple moving average turned upwards, which may be a bullish sign. The clearest trend exists on the 30 day timeframe, which shows price moving up over that time. Also of note is that on a 14 day basis price appears to be forming a base — which could the stage for it being a support/resistance level going forward. For additional context, note that price has gone up 5 out of the past 10 days.
The View From Around the Web
We’re seeing some traders come out with interesting conviction on EURUSD, with 12 buy signals on our radar and 15 sell signals. This imputes a buy/sell ratio of 0.8, which is neutral. As for the rationale, technical traders seem to be citing the appearance of fibonacci and trendline technical patterns. Here’s a piece we found on tradingview.com; below is a short snippet from it to give you a taste.
I have been looking to short this pair for a while, we can see we are respecting the ascending trendline as well as having a rejection of the 61.8% Fibonacci….So we have 4 confluences with this trade, let’s see how the London sessions opens for this pair….