Forex Marketz Daily Forex News – Fully Markets Update
EUR/USD (1.1557)
Trade Strategy: Stand Aside
- Resistance Levels: 1.1560, 1.1678, 1.1750
- Support Levels: 1.1460, 1.1365, 1.1248
I have been hoping for a support level, any support level to hold and give me that bounce to enter a short euro trade. Recently, I was eying the key pivot at 1.16 to give us that bounce. Did not happen. The EUR/USD has now hit a fresh decade low with prices getting ready to move below 1.15. Please look at the below daily MT 4 chart.
With a fall below 1.15, the next support level is lining up at 1.1462. A daily close below this level will challenge the next key support at 1.1365. Should we catch a break and see the Euro bounce higher, then we note short term resistance at 1.1560. A daily close above this level will challenge the technical resistance at 1.1678.
From a technical standpoint, jumping in with a short euro trade is very tempting. However, we have the upcoming European Central Bank (ECB) economic policy decision this week. This could give the euro some support. Given that, I am standing aside while I am waiting for a corrective bounce higher which will give a better opportunity for that short euro trade, which is in line with my long term EUR/USD outlook. My long term outlook remains very bearish.
