OctaFX | OctaFX Forex Broker
Open trading account
Back

EUR/USD to test key supports at 1.2060 – TDS

EUR/USD has broken below the key support around 1.2130 turning attention quickly to a potential test of key supports around 1.2060, Ned Rumpeltin, European Head of FX Strategy at TD Securities, reports.

Key quotes

“We note that EUR/USD drifted lower overnight, as the EU's slow vaccine rollout and Italian political concerns have also gotten some air time.” 

“Interestingly, the pair now looks to be within easy striking distance of a test of the week’s lows just above 1.2130. We have seen good support emerge around that pivot since Mid-December, so a clear break lower would be seen as a notable event.” 

“We would expect to see some bids emerge around 1.2100/05, but our attention would quickly shift to how spot behaved if we managed to get down toward the next key support at 1.2060. We also note that 1.2064 is the 38.2% Fibo retrace level of the trading range in place since the early-November lows. The 55-dma lurks just below this at 1.2044.”

 

UK PM Johnson's spokesman: Phase two vaccinations to include those at risk of higher exposure

British Prime Minister Boris Johnson's spokesman said on Thursday that the second phase of the vaccination programme will look at targeted vaccination
Read more Previous

S&P 500 Index opens modestly higher as focus shits to Biden's stimulus package

Major equity indexes in the US opened modestly higher on Thursday as investors wait for President-elect Joe Biden to unveil his coronavirus relief pac
Read more Next
Start livechat