Euro FX FuturesShort
Technical Setup on EURO but CAUTIOUS ahead of NFP
Technical Analysis
After a modest rally, this week following Dollar weakness the Euro has a confluence of important technicals indicating possible weakness.
1) A retest of previous channel structure which has acted as important support and resistance over 3 months.
2) A retrace to the golden fib ratio 0f 50-61.8% (1.19200 - 1.16350)
3) Momentum divergence which can also be seen as playing out well earlier this week
4) Looks to currently be printing a bearish pin bar candlestick pattern
5) The daily 20MA lines perfectly as resistance
Fundamental Analysis
With NFP tomorrow, I will be hesitant on placing a significantly large trade size at the moment
However, I am expecting further risk-off sentiment heading into November, as investors look to reduce exposure on assets shifting towards currencies and Gold which could indicate further EUR bearishness into the month
Brussels suing the UK over plans to violate Brexit withdrawals - political uncertainty may cause a reduction in investment flows
After a modest rally, this week following Dollar weakness the Euro has a confluence of important technicals indicating possible weakness.
1) A retest of previous channel structure which has acted as important support and resistance over 3 months.
2) A retrace to the golden fib ratio 0f 50-61.8% (1.19200 - 1.16350)
3) Momentum divergence which can also be seen as playing out well earlier this week
4) Looks to currently be printing a bearish pin bar candlestick pattern
5) The daily 20MA lines perfectly as resistance
Fundamental Analysis
With NFP tomorrow, I will be hesitant on placing a significantly large trade size at the moment
However, I am expecting further risk-off sentiment heading into November, as investors look to reduce exposure on assets shifting towards currencies and Gold which could indicate further EUR bearishness into the month
Brussels suing the UK over plans to violate Brexit withdrawals - political uncertainty may cause a reduction in investment flows
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.