EURUSD Technical Outlook (Daily)

EURUSD Technical Outlook (Daily)



EURUSD: Month-end fixing alongside with poor US data sent the Buck lower across the board at the beginning of the US session, although the pair remained limited below 1.1200 end the day about unchanged, at the 1.1130/40 area.

At the close of trading the USD was mixed to higher across the board.

German data was encouraging, with April Retail sales up by 2.3% compared to the same month a year before, and unemployment rate down to 6.1% in May.

In the EU inflation fell as expected by 0.1% according to May preliminary readings, down for a 3rd month in the last 4.

In the US personal spending rose by 1.0% in April, the Chicago Business Barometer fell 1.1 points to 49.3 in May from 50.4 in April, the lowest mark since February.

US Consumer Confidence declined in May, down to 92.6 from previous 96.0.

The EURUSD lacks directional strength in here and is consolidating near its recent lows, and in risk of more Southward movement, given that in the daily, the price is just holding above the daily ascendant trend line coming November low, Wednesday at 1.1090. Also, and in the same frame, the 20-Day SMA heads sharply South and aims to break below the 100-Day SMA, both far above the current mark.

Near term, the 4 hours maintains the Neutral stance, with the price unable to advance beyond a mildly Bearish 20-Day SMA and the technical indicators hanging inside negative territory.

Support marks: 1.1120 1.1090 1.1040
Resistance marks: 1.1160 1.1200 1.1245

Stay tuned…


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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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