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21 May 2015
EUR/USD bears taking the lead – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, shares the technical outlook and key levels for EUR/USD, noting that short-term term technical picture favours the downside.
Key Quotes
“The EUR/USD pair surged to a 2-day high of 1.1180 as investors digests FOMC Minutes released late Wednesday. The FED's statement has diminished chances for a rate hike in June, something the market had already priced in, and at the same time, upgraded the economic outlook in the midterm, which may suggest rates may remain low for longer.”
“Data in Europe was mixed, with German Markit PMIs missing expectations, albeit manufacturing in the EU rose more than expected. In the US, weekly unemployment claims for the week ending May 15th, came out at 274K slightly worse than expected, keeping the greenback in selling mode.”
“Technically, the short term picture supports the downside, with the pair pressuring the 1.1120 region and a mild bullish 20 SMA, whilst the technical indicators have accelerated south below their mid-lines.”
“In the 4 hours chart , the technical indicators turned back south below their mid-lines after correcting oversold readings, keeping the risk towards the downside should the price finally break below the current support.”
“Support levels: 1.1120 1.1050 1.1000”
“Resistance levels: 1.1170 1.1220 1.1250”
Key Quotes
“The EUR/USD pair surged to a 2-day high of 1.1180 as investors digests FOMC Minutes released late Wednesday. The FED's statement has diminished chances for a rate hike in June, something the market had already priced in, and at the same time, upgraded the economic outlook in the midterm, which may suggest rates may remain low for longer.”
“Data in Europe was mixed, with German Markit PMIs missing expectations, albeit manufacturing in the EU rose more than expected. In the US, weekly unemployment claims for the week ending May 15th, came out at 274K slightly worse than expected, keeping the greenback in selling mode.”
“Technically, the short term picture supports the downside, with the pair pressuring the 1.1120 region and a mild bullish 20 SMA, whilst the technical indicators have accelerated south below their mid-lines.”
“In the 4 hours chart , the technical indicators turned back south below their mid-lines after correcting oversold readings, keeping the risk towards the downside should the price finally break below the current support.”
“Support levels: 1.1120 1.1050 1.1000”
“Resistance levels: 1.1170 1.1220 1.1250”