EUR/USD Technical analysis 14 December 2018
2018-12-14 06:49 am | Resource: Technical Analysis | No Views : 194
The EURUSD is moving in a sideway direction in the near term.
The EURUSD is still trading above level of 1.1300, but is still facing resistance and selling pressure around the 1.1382 level, where uncertainty remains over the euro zone.
In view of the technical indicators
Both the RSI and the Stochastic are indicating to the weakness of the indicators as well as the inability of prices to reach the upper boundary of the Bollinger Index.
Therefore, we expect that the EURUSD will retreat to the 1.1300 level, which by breaking it down the EURUSD will target the levels of 1.1266 - 1.1215, and this scenario would fail if the EURUSD breached level of 1.1382 to upside.
The alternative scenario is that the EURUSD re-test level of 1.1382 again.
Our view is currently neutral about EURUSD pair.
The fundamental overview
• On the economic data level, the US retail sales report will be released on a monthly basis at 8.30 GMT, which measures the total value of retail sales and the amounts received in stores and consumer services on a monthly basis. Data are collected through a monthly retail sales survey conducted by the US Bureau of Statistics. The index includes consumer spending on durable and non-durable goods.
• On the other hand there are no reports with a strong impact on the euro area.
Resistance: 1.1382 - 1.1435 - 1.1464
Support: 1.1300 - 1.1269 - 1.1215
The dollar traded lower against the currencies as traders were also wary of looking for riskier assets awaiting developments on the trade front. The Fed cut its target overnight rate by a quarter percentage point on Wednesday, to a level of 1.75% to 2.0%, to offset slowing global growth and the risks partly associated with President Donald Trump's trade battles with China. This was the second Fed rate cut this…
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