OctaFX | OctaFX Forex Broker
Open trading account
Back

EUR/USD bulls in the driving seat - FXStreet

FXStreet (Greenback) - Valeria Bednarik, chief analyst at FXStreet explained that the American dollar closed the day generally higher against all of its major rivals, albeit the EUR/USD pair trimmed most of its intraday losses in the US session.

Key Quotes:

"The pair fell down to 1.0795, its lowest ever since ECB's Draghi announced a soft extension of QE last Thursday, and triggered the largest EUR advance in over five years. Ever since, the common currency has been presenting a bullish tone that persists, despite the pair ending the day in the red. The macroeconomic calendar was soft, with Germany releasing its Industrial Production data for October, up by 0.2% compared to a month before, but flat on the year. The intraday decline however, can be blamed on a strong advance in European equities at the beginning of the day, later erased.

The intraday technical picture is far from suggesting a downward continuation, and the pair seems ready to extend its recovery, given that in the 1 hour chart, the price is back above its 20 SMA, while the RSI indicator aims higher around 53.

In the 4 hours chart, the Momentum indicator has returned to 100, presenting now a strong bearish slope, but rather in line with the latest retracement than suggesting further declines. In this last time frame, the pair has managed to bounce from a strongly bullish 20 SMA, how around 1.0805, while the RSI indicator hovers around 54, reflecting that bulls remain on the drivers' seat."

US stocks fall sharply as oil weighs

US stocks fell sharply on Monday as plunging oil prices weighed on energy stocks and helped to reverse Friday's gains.
Read more Previous

New Zealand Manufacturing sales rose from previous -0.2% to 3.5% in 3Q

New Zealand Manufacturing sales rose from previous -0.2% to 3.5% in 3Q
Read more Next
Start livechat