EUR/USD: the euro is trying to reverse into corrective growth 23.11.2022
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 European currency shows flat dynamics, testing the level of 1.0310 for a breakout. Traders are in no hurry to open new positions in anticipation of today's publication of the minutes of the US Federal Reserve meeting, which may clarify the prospects for the regulator's monetary policy.
At the moment, forecasts suggest that the interest rate will be raised by 50 basis points in December, but the Fed is unlikely to stop there. Representatives of the US Federal Reserve generally agree that it is premature to talk about the imminent end of the monetary policy tightening cycle. In particular, Loretta Meister and Mary Daly made "hawkish" comments the day before, also noting that the rate of the rate hike may be reduced in the future. An increase in interest rates by 50 basis points is expected in December from the European Central Bank (ECB), and unlike the US Federal Reserve, the European regulator has to act much more cautiously, due to the proximity of the region's economy to recession.
The focus of investors today will be statistics on business activity from S&P Global for November. Current forecasts suggest that the S&P Global Manufacturing PMI will decline from 47.3 points to 47.0 points, and the Services PMI may decline from 48.6 points to 48.0 points.
Also yesterday it became known that the authorities of the European Union proposed to slightly change the key provisions on limiting prices for the supply of Russian "black gold", as well as provide for a phased 45-day transition to the new rules. According to Bloomberg, it will affect oil loaded before the date of entry into force of sanctions on December 5 and unloaded before January 19. It is expected that the price ceiling will be set in the region of 40.0-60.0 dollars per barrel, but even now the initiative is causing controversy among representatives of the countries of the bloc: in particular, France is in favor of these measures, while Germany is against it. If EU leaders approve the new pricing scheme, it will come into effect from January 1, 2023.
Support and resistance
Bollinger Bands on the daily chart show a steady increase. The price range is narrowing, reflecting the emergence of ambiguous dynamics of trading in the short term. MACD is falling, keeping a relatively strong sell signal (the histogram is below the signal line). Stochastic, which has rebounded from the level of "20", is trying to reverse upwards, signaling in favor of the development of corrective growth in the near future.
Resistance levels: 1.0350, 1.0400, 1.0450, 1.0500.
Support levels: 1.0300, 1.0253, 1.0200, 1.0150.
Trading tips
Long positions can be opened after a breakout of 1.0350 with the target of 1.0450. Stop-loss 1.0300. Implementation time: 2-3 days.
A rebound from 1.0350 as from resistance, followed by a breakdown of 1.0300 may become a signal for opening of new short positions with the target at 1.0200. Stop-loss 1.0350.
Use more opportunities of the NPBFX analytical portal: analytics
You can find more actual analytical reviews on other popular currency pairs, metals and CFDs on the NPBFX online portal. Daily analytics with charts, current market prognoses and trading scenarios in the Feed section are available. Get free and unlimited access to the online portal after registering on the official website of NPBFX Company.
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 European currency shows flat dynamics, testing the level of 1.0310 for a breakout. Traders are in no hurry to open new positions in anticipation of today's publication of the minutes of the US Federal Reserve meeting, which may clarify the prospects for the regulator's monetary policy.
At the moment, forecasts suggest that the interest rate will be raised by 50 basis points in December, but the Fed is unlikely to stop there. Representatives of the US Federal Reserve generally agree that it is premature to talk about the imminent end of the monetary policy tightening cycle. In particular, Loretta Meister and Mary Daly made "hawkish" comments the day before, also noting that the rate of the rate hike may be reduced in the future. An increase in interest rates by 50 basis points is expected in December from the European Central Bank (ECB), and unlike the US Federal Reserve, the European regulator has to act much more cautiously, due to the proximity of the region's economy to recession.
The focus of investors today will be statistics on business activity from S&P Global for November. Current forecasts suggest that the S&P Global Manufacturing PMI will decline from 47.3 points to 47.0 points, and the Services PMI may decline from 48.6 points to 48.0 points.
Also yesterday it became known that the authorities of the European Union proposed to slightly change the key provisions on limiting prices for the supply of Russian "black gold", as well as provide for a phased 45-day transition to the new rules. According to Bloomberg, it will affect oil loaded before the date of entry into force of sanctions on December 5 and unloaded before January 19. It is expected that the price ceiling will be set in the region of 40.0-60.0 dollars per barrel, but even now the initiative is causing controversy among representatives of the countries of the bloc: in particular, France is in favor of these measures, while Germany is against it. If EU leaders approve the new pricing scheme, it will come into effect from January 1, 2023.
Support and resistance
Bollinger Bands on the daily chart show a steady increase. The price range is narrowing, reflecting the emergence of ambiguous dynamics of trading in the short term. MACD is falling, keeping a relatively strong sell signal (the histogram is below the signal line). Stochastic, which has rebounded from the level of "20", is trying to reverse upwards, signaling in favor of the development of corrective growth in the near future.
Resistance levels: 1.0350, 1.0400, 1.0450, 1.0500.
Support levels: 1.0300, 1.0253, 1.0200, 1.0150.
Trading tips
Long positions can be opened after a breakout of 1.0350 with the target of 1.0450. Stop-loss 1.0300. Implementation time: 2-3 days.
A rebound from 1.0350 as from resistance, followed by a breakdown of 1.0300 may become a signal for opening of new short positions with the target at 1.0200. Stop-loss 1.0350.
Use more opportunities of the NPBFX analytical portal: analytics
You can find more actual analytical reviews on other popular currency pairs, metals and CFDs on the NPBFX online portal. Daily analytics with charts, current market prognoses and trading scenarios in the Feed section are available. Get free and unlimited access to the online portal after registering on the official website of NPBFX Company.
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.