Forex Marketz Daily Forex News – Fully Markets Update
Looking at the world’s most liquid currency exchange rate, the EUR/USD Forex market, on the above daily MT 4 chart, the euro currency (EUR) is under pressure as downside momentum has returned in force.
The EUR/USD Forex market is challenging the fifty (50) day simple moving average (SMA). This currency market is also above the one hundred and two hundred (100, 200) simple moving averages. With that said sellers are gaining ground which is bearish for the euro currency.
The euro currency is watching U.S. politics. The United States, on Wednesday, will see President-elect Joe Biden inaugurated into office. This inauguration comes a week after armed insurrectionists stormed the U.S. Congress.
Outgoing President Donald Trump has been officially impeached for an unprecedented second time for his role in that insurrection and attempted coup. President Trump has also refused to attend President-elect Joe Biden’s inauguration on Wednesday. It is unclear when the Senate will start Trump’s trial to convict him.
The economic calendar is quiet to start the new trade week off. The United States’ financial markets are closed for the Martin Luther King Jr. day holiday. The Euro Group meeting start on Monday and the United Kingdom has no economic data on the calendar.
Daily Euro Currency Technical Analysis (EUR/USD)
Looking at price action on the above EUR/USD price chart, the 50 day simple moving average at 1.2070 is initial support. The next downside barrier comes into play at 1.2060. This was the price level that saw the price recovery start in mid-December.
The next layer of support lines up at the late 2020 swing high price point at 1.2010. The next layer of technical support lines up at 1.1920 with 1.1860 then coming into focus.
On the upside a former triple bottom at 1.2125 is the first upside barrier. The next layer of resistance to watch lines up near the mid-January sing high at 1.2170. The next upside barrier comes into play at 1.2220 with 1.2310 then coming into focus. The 2021 high price level at 1.2350 then pops up.
