Euro FX Futures Rally On Mixed USD

Following an exceptionally soft Monday forex session, the Greenback has turned in a mixed performance against the majors. Weekly losses have been extended against the Euro, but modest gains are being posted against the Swiss franc and Japanese yen. Subsequently, today’s action has brought June Euro FX futures within striking distance of several daily topside resistance levels.

At 10:00 AM EST, two U.S. economic metrics were released to the public. Here is a look at the hard data:

Event                                                                          Actual         Projected        Previous

IBD/TIPP Economic Optimism (MoM, April)            54.2                   NA                 55.7

JOLTS Job Openings (February)                               7.087M           7.550M           7.625M

These numbers have come in negative, much the opposite of what we saw from today’s pre-market releases. All in all, these economic numbers aren’t doing a whole lot to market sentiment ― the Greenback is largely flat and U.S. stocks are in the red.

June Euro FX Futures: Technical Outlook

Since April began, the June Euro FX has been grinding higher in a whipsaw fashion. This week has brought solid gains positioning price on the doorstep of daily topside resistance.

Here are two levels that will be on my radar going into the Wednesday session:

• Resistance(1): 38% Current Wave Retracement, 1.13620
• Support(1): Swing Low, 1.12550

Bottom Line: Until elected, I will have sell orders in the June Euro FX at 1.13595. With an initial stop loss at 1.41020, this trade produces 25 ticks on a 1:1.5 risk to reward ratio.

From now until the 2:00 PM EST release of the FOMC Minutes, there is going to be an abundance of market movers. An ECB Deposit Rate Decision, U.S. CPI (March), and FOMC Minutes are a few of the key events scheduled. If you are trading the EUR/USD or Euro FX, be sure to have your stops down and leverage in check going into each announcement.