EUR/USD Faces Obstacles As It Reversed Down - Forex News by FX Leaders
Let's see if this week's trend will change or if this will be just a pullback before the next move higher

EUR/USD Faces Obstacles As It Reversed Down

Posted Thursday, March 14, 2019 by
Skerdian Meta • 1 min read

EUR/USD has been trading on a bullish trend for about a week against all odds. Last Thursday, the European Central Bank turned dovish more than expected and this pair lost around 150 pips. But the US on-farm employment change changed the sentiment last Friday and EUR/USD has recuperated all the ECB losses.

The uptrend has been straightforward with pullbacks being really small. But, the price reached the 100 SMA (red) yesterday where it found solid resistance. The buyers had another attempt at this moving average today but they failed again and eventually the price reversed back down.

The price has declined nearly 50 pips today in what seems to be a bearish reversal, but now EUR/USD is facing more moving average at the bottom which should provide some support to this pair. The 20 SMA (grey) is standing at today’s lows, while the 50 SMA is standing a few pips below there.

Now we will see if the sellers will push lower, thus changing this week’s trend, or if they will give up at these two moving averages, in which case, the buyers will take things in their hands. So, this is a decisive level right now for EUR/USD. The price action of the next few sessions will tell if the trend will reverse or continue further up.

 

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About the author

Skerdian Meta // Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
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