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9 Oct 2013
EUR/USD finishes multi-day correction higher at 1.3606 and starts next wave lower
FXstreet.com (Barcelona) - The EUR/USD may be in the third and final stage of an “abc” correction lower now with a downside target of 1.3489 to 1.3515.
Bouts of Dollar strength show institutional faith in “debt ceiling” resolution
Big-money players that drive the currency markets are not yet buying into the idea that the US politicians will fail to raise the debt ceiling by October 17th - as evidenced by the strength in the greenback which weighed on the EUR/USD cross late in Tuesday’s session.
Wednesday, in addition to watching the news flow out of Washington, EUR/USD traders will be monitoring the ECB Monthly Report, German Industrial Production and US mortgage application data.
Technical outlook for EUR/USD
Technicians say the EUR/USD appears to have short-term resistance at Monday’s close and correction resistance at 1.3580 (on an hourly closing basis) with 1.3606 above that. Support for the cross comes in at 1.3489.
Bouts of Dollar strength show institutional faith in “debt ceiling” resolution
Big-money players that drive the currency markets are not yet buying into the idea that the US politicians will fail to raise the debt ceiling by October 17th - as evidenced by the strength in the greenback which weighed on the EUR/USD cross late in Tuesday’s session.
Wednesday, in addition to watching the news flow out of Washington, EUR/USD traders will be monitoring the ECB Monthly Report, German Industrial Production and US mortgage application data.
Technical outlook for EUR/USD
Technicians say the EUR/USD appears to have short-term resistance at Monday’s close and correction resistance at 1.3580 (on an hourly closing basis) with 1.3606 above that. Support for the cross comes in at 1.3489.