OctaFX | OctaFX Forex Broker
Open trading account

EUR/USD: Biased lower ahead of ECB, NFP - FXStreet

FXStreet (Bali) - Ahead of the ECB and US NFP later on the week, the EUR/USD short term picture shows the pair still biased lower, notes Valeria Bednarik, Chief Analyst at FXStreet.

Key Quotes

"The EUR/USD starts its critical week of the month at the year lows below the 1.2700 figure posted on Friday: later on the day, both economies will be releasing the most volatile data for each that is ECB monthly economic decision, and US employment figures."

"The European Central Bank is expected to launch even more facilities, while the US employment is expected to have pickup from the latest 142K: market will face both with high expectations the releases will fuel current bearish trend, so if any failure to deliver, some upward corrections could be expected in the pair by the end of the week. But it will take more than a 100 pips upside ride to call for a bottom."

"In the meantime the short term picture shows the pair still biased lower, as the 1 hour chart shows price well below a bearish 20 SMA currently around 1.2715 and indicators flat in oversold territory. In the 4h chart 20 SMA also presents a bearish slope well above current price, while indicators lost the strong downward potential seen late Friday, now flat in oversold territory and with no signs of a possible upward correction yet. Further slides below 1.2660 should signal a downward continuation towards the 1.2620 level, with the upside limited by 1.2770 price zone."

South Korea Current Account Balance: 7.6B (August) vs 6.74B

Read more Previous

NZD/USD: Selling interest not abating

NZD/USD is operating at the lowest since Sept 6 last year, currently at 0.8758, with the pressures not abating in the early going of Asian trading this Monday.
Read more Next
Start livechat