EURUSD Technical Outlook (Daily)

EURUSD Technical Outlook (Daily)



EURUSD: The Buck recovered from fresh multi-month lows by the end of last week, although the negative sentiment towards the USD persists, after the release of a mixed April job’s report.

According to the latest data, the world’s largest economy added just 160-K new jobs during the month, below market’s expectations and in line with the slowdown in growth that began late Y 2015.

Wages rose 0.3% on a monthly basis and could taking the Y-Y growth to 2.5%, way above expectations. Less jobs but better salaries left participants clueless on whether the US Fed will act or not in June.

The EURUSD rallied up to a fresh yearly high of 1.1615 after breaking above 1.1460, major resistance, but turned South more on increasing uncertainty over worldwide economic developments than on USD strength.

The single currency pared losses around 1.1400 Vs USD, and the pair now trades below the 50% Fibo retracement of its latest Bullish run, measured between 1.1215 and 1.1615, at 1.1420, the immediate resistance.

The Key support for the coming days is at 1.1370, the 61.8% Fibo retracement of this rally.

Technical readings in the 4 hours are biased to the Southside within negative territory, while the 20-Day SMA has turned sharply South above the current mark. EURUSD needs to recover above 1.1460 to recover its previous Bullish tone and have the chance to extend its gains to 1.1710.

Support marks:1.1370 1.1335 1.1290
Resistance marks: 1.1420 1.1460 1.1500

Have a terrific week

Paul Ebeling

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Paul Ebeling

Paul A. Ebeling, polymath, excels in diverse fields of knowledge. Pattern Recognition Analyst in Equities, Commodities and Foreign Exchange and author of “The Red Roadmaster’s Technical Report” on the US Major Market Indices™, a highly regarded, weekly financial market letter, he is also a philosopher, issuing insights on a wide range of subjects to a following of over 250,000 cohorts. An international audience of opinion makers, business leaders, and global organizations recognizes Ebeling as an expert.

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