EURUSD returned to a strong price increase?
Updated
Hello, Karina's wonderful friends! Let's take a look back at last week's trading and assess the new trend for EURUSD!
Overall, EURUSD had significant gains last week, with a price increase and surpassing the 1.070 level. It is currently trading at a new high of 1.072, the best increase since mid-June. So, what are the reasons and factors that have driven this currency pair?
Regarding the impact factors:
The daily market drivers for this currency pair include the general weakness of the USD due to the Federal Reserve's (Fed) change in tone towards a more accommodative approach, hinting that they may end the tightening cycle on Wednesday. As a reaction, US Treasury yields dropped to their lowest level since September, with 2.5 and 10-year rates decreasing to 4.84, 4.50, and 4.57%. This added selling pressure on the Greenback and served as a significant advantage for the EURUSD pair, helping it bounce back.
Regarding the new outlook for EURUSD:
On the 1D chart, as previously mentioned by Karina, EURUSD is currently receiving strong support at 1.05. Breaking below this level would result in a significant decrease in price, while maintaining this level would lead to an increase in price. Upon careful observation, it can be seen that the currency pair has surpassed the resistance at 1.07. Both short-term and medium-term prospects indicate that the bullish side is gradually gaining strength. The Relative Strength Index (RSI) is trending upwards within the bearish zone, indicating potential momentum shift and the revival of the uptrend. Using Fibonacci measurements, if the upward momentum continues, the next recovery points for EURUSD would be at 0.5 (price level 1.086) and 0.618 (price level 1.096).
Important short-term price levels to consider:
-Support levels: 1.0700, 1.0670, 1.0630.
-Resistance levels: 1.0750, 1.0770, 1.0800.
Overall, EURUSD had significant gains last week, with a price increase and surpassing the 1.070 level. It is currently trading at a new high of 1.072, the best increase since mid-June. So, what are the reasons and factors that have driven this currency pair?
Regarding the impact factors:
The daily market drivers for this currency pair include the general weakness of the USD due to the Federal Reserve's (Fed) change in tone towards a more accommodative approach, hinting that they may end the tightening cycle on Wednesday. As a reaction, US Treasury yields dropped to their lowest level since September, with 2.5 and 10-year rates decreasing to 4.84, 4.50, and 4.57%. This added selling pressure on the Greenback and served as a significant advantage for the EURUSD pair, helping it bounce back.
Regarding the new outlook for EURUSD:
On the 1D chart, as previously mentioned by Karina, EURUSD is currently receiving strong support at 1.05. Breaking below this level would result in a significant decrease in price, while maintaining this level would lead to an increase in price. Upon careful observation, it can be seen that the currency pair has surpassed the resistance at 1.07. Both short-term and medium-term prospects indicate that the bullish side is gradually gaining strength. The Relative Strength Index (RSI) is trending upwards within the bearish zone, indicating potential momentum shift and the revival of the uptrend. Using Fibonacci measurements, if the upward momentum continues, the next recovery points for EURUSD would be at 0.5 (price level 1.086) and 0.618 (price level 1.096).
Important short-term price levels to consider:
-Support levels: 1.0700, 1.0670, 1.0630.
-Resistance levels: 1.0750, 1.0770, 1.0800.
Note
What do you think about this analysis? Do you think EURUSD really increases the price again?Note
At the time of writing, the DXY index is at 105.069 significantly reduced and is the motivation for price increase for EURUSD
Trade active
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done target guys !
Note
Trade closed: target reached
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