MG Network

our website isOn Vacation

In the mean time you can connect with us with via:

Copyright © Money Grows Network | Theme By Gooyaabi Templates

Money Grows Network

Archive

Powered by Blogger.

Welcome To Money Grows Network

Verified By

2006 - 2019 © www.moneygrows.net

Investments in financial products are subject to market risk. Some financial products, such as currency exchange, are highly speculative and any investment should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only.

Popular

Pages

Expert In

Name*


Message*

EUR/USD drops as expected. Where is the next obstacle?

EUR/USD is trading in the red at 1.1677 level above today's low of 1.1668. It could resume its drop if the Dollar Index jumps higher. DXY has finally managed to make a new higher high after ignoring the 93.43 static resistance. An upside continuation may force the EUR/USD pair to drop deeper.

The pair dropped deeper only because the Dollar Index has reached fresh new highs. Fundamentally, the German Gfk Consumer Climate was reported at 0.3 points above -1.6 points expected.

On the contrary, the US CB Consumer Confidence, Goods Trade Balance, HPI, and the Prelim Wholesale Inventories have come in worse than expected. Despite these poor figures, USD dominates the currency market as traders are expecting the FED to take action in the near future.

EUR/USD above critical support

analytics61536e1604358.jpg

EUR/USD failed to stabilize above the weekly pivot point (1.1719) signaling strong selling pressure. As I've mentioned in my previous analysis, the price could drop anytime as long as it stays under the downtrend line.

Also, a failure to reach and retest the downtrend line signaled a deeper drop. The pair has plunged below the second warning line (wl2) which was seen as a dynamic support. Now it has dropped below 1.1684 S1 and is about to stabilize below it.

Still, the 1.1663 stands as a critical and major support, downside obstacle. A bullish pattern printed on this level could signal a rebound.

EUR/USD forecast

Making a valid break below the 1.1663 could really activate a broader downside movement towards 1.6 and 1.5 psychological levels.

The material has been provided by InstaForex Company - www.instaforex.com