Unemployment and Bond Data May Shake the Greenback
Today is expected to be a dynamic day for the Euro/Dollar pair, as unemployment rates and bond yields are due for release. Expectations point to a rise in unemployment figures, which is generating bearish market sentiment towards the US dollar. This sentiment is also reflected in the British pound, the New Zealand dollar and the Czech koruna. Although the figures are expected to be similar to the previous ones, but with a slight downward trend.
The pair has shown a steady progression in an ascending channel since the Christmas rally, peaking at USD 1.11390 and correcting to USD 1.07769 on February 5. Currently, the average trading range is around 1.08869 USD, according to the Volume Profile Visible Range indicator. Divergence RSI is showing signs of overbought at 61.83%, suggesting a possible continuation momentum to the bullish run. In addition, a double bounce is seen this week, on Monday and Tuesday, following the US and European PMI data.
We are likely to see two possible scenarios: a bullish continuation towards the checkpoint at 1.08869 USD or a decline towards 1.07614 USD, depending on the market reaction to today's data.
Ion Jauregui - AT Analyst
The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
The pair has shown a steady progression in an ascending channel since the Christmas rally, peaking at USD 1.11390 and correcting to USD 1.07769 on February 5. Currently, the average trading range is around 1.08869 USD, according to the Volume Profile Visible Range indicator. Divergence RSI is showing signs of overbought at 61.83%, suggesting a possible continuation momentum to the bullish run. In addition, a double bounce is seen this week, on Monday and Tuesday, following the US and European PMI data.
We are likely to see two possible scenarios: a bullish continuation towards the checkpoint at 1.08869 USD or a decline towards 1.07614 USD, depending on the market reaction to today's data.
Ion Jauregui - AT Analyst
The information provided does not constitute investment research. The material has not been prepared in accordance with the legal requirements designed to promote the independence of investment research and such should be considered a marketing communication.
All information has been prepared by ActivTrades ("AT"). The information does not contain a record of AT's prices, or an offer of or solicitation for a transaction in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information.
Any material provided does not have regard to the specific investment objective and financial situation of any person who may receive it. Past performance is not reliable indicator of future performance. AT provides an execution-only service. Consequently, any person acing on the information provided does so at their own risk.
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