EUR/USD: consolidation near spring 2022 highs 13.01.2023
Good afternoon, dear forum visitors!
NPBFX offers the latest release of analytics on EUR/USD for a better understanding of the current market situation and more efficient trading.
Current trend
The EUR/USD pair shows flat dynamics during the Asian session, consolidating near 1.0850 and local highs from April 21, 2022. Trading activity remains quite low, while analysts expect a large number of publications of macroeconomic indicators.
The day before, the single currency showed strong growth in response to the release of data on inflation dynamics in the US. In December, the Consumer Price Index slowed down from 7.1% to 6.5% in annual terms, and in monthly terms it corrected from 0.1% to -0.1%. In turn, the CPI excluding Food and Energy added 0.3% in monthly terms and 5.7% in annual terms. Thus, traders strengthened their belief that in the near future the US Federal Reserve will continue to reduce the pace of interest rate increases and will adjust the value by only 25 basis points at its meeting on January 31.
In addition, the focus of investors is statistics on the dynamics of Industrial Production in the eurozone in November, as well as consumer inflation in Spain and France in December, where current forecasts do not suggest changes.
Support and resistance
Bollinger Bands on the daily chart show a steady increase. The price range is expanding, but it fails to catch the development of "bullish" activity this week. MACD indicator is growing preserving a stable buy signal (located above the signal line). Stochastic, having reached its highs, reverses into a horizontal plane, indicating overbought euro in the ultra-short term.
Resistance levels: 1.0850, 1.0900, 1.0957, 1.1000.
Support levels: 1.0800, 1.0759, 1.0700, 1.0657.
Trading tips
Long positions can be opened after a breakout of 1.0900 with the target of 1.1000. Stop-loss 1.0850. Implementation time: 1-2 days.
A rebound from 1.0850 as from resistance, followed by a breakdown of 1.0800 may become a signal for opening of new short positions with the target at 1.0700. Stop-loss 1.0850.
Use more opportunities of the NPBFX analytical portal: weekly FOREX forecast
You can learn more about the current situation and get acquainted with the weekly analytical forecast in the "Video reviews" section on the NPBFX portal. Weekly video reviews contain trends, key levels, trading recommendations for such popular instruments as GBP/USD, EUR/USD, USD/CHF, AUD/USD. In order to get free and unlimited access to video forecast and other useful instruments on the portal, you need to register on the NPBFX website.
If you have any questions about trading instruments, you can always ask an analyst in the online chat on the portal and get a free consultation of an experienced specialist.
Use the current recommendations of analysts on EUR/USD and trade efficiently with NPBFX.
Good afternoon, dear forum visitors!
NPBFX offers the latest release of analytics on EUR/USD for a better understanding of the current market situation and more efficient trading.
Current trend
The EUR/USD pair shows flat dynamics during the Asian session, consolidating near 1.0850 and local highs from April 21, 2022. Trading activity remains quite low, while analysts expect a large number of publications of macroeconomic indicators.
The day before, the single currency showed strong growth in response to the release of data on inflation dynamics in the US. In December, the Consumer Price Index slowed down from 7.1% to 6.5% in annual terms, and in monthly terms it corrected from 0.1% to -0.1%. In turn, the CPI excluding Food and Energy added 0.3% in monthly terms and 5.7% in annual terms. Thus, traders strengthened their belief that in the near future the US Federal Reserve will continue to reduce the pace of interest rate increases and will adjust the value by only 25 basis points at its meeting on January 31.
In addition, the focus of investors is statistics on the dynamics of Industrial Production in the eurozone in November, as well as consumer inflation in Spain and France in December, where current forecasts do not suggest changes.
Support and resistance
Bollinger Bands on the daily chart show a steady increase. The price range is expanding, but it fails to catch the development of "bullish" activity this week. MACD indicator is growing preserving a stable buy signal (located above the signal line). Stochastic, having reached its highs, reverses into a horizontal plane, indicating overbought euro in the ultra-short term.
Resistance levels: 1.0850, 1.0900, 1.0957, 1.1000.
Support levels: 1.0800, 1.0759, 1.0700, 1.0657.
Trading tips
Long positions can be opened after a breakout of 1.0900 with the target of 1.1000. Stop-loss 1.0850. Implementation time: 1-2 days.
A rebound from 1.0850 as from resistance, followed by a breakdown of 1.0800 may become a signal for opening of new short positions with the target at 1.0700. Stop-loss 1.0850.
Use more opportunities of the NPBFX analytical portal: weekly FOREX forecast
You can learn more about the current situation and get acquainted with the weekly analytical forecast in the "Video reviews" section on the NPBFX portal. Weekly video reviews contain trends, key levels, trading recommendations for such popular instruments as GBP/USD, EUR/USD, USD/CHF, AUD/USD. In order to get free and unlimited access to video forecast and other useful instruments on the portal, you need to register on the NPBFX website.
If you have any questions about trading instruments, you can always ask an analyst in the online chat on the portal and get a free consultation of an experienced specialist.
Use the current recommendations of analysts on EUR/USD and trade efficiently with NPBFX.