EUR/USD Experiences Retreat Amid Anticipated Economic Announcements and Technical Indicators
In Tuesday’s Asian trading window, the EUR/USD duo registered a retraction from its recent advancements, hovering near the 1.0550 pivotal level. Market players are keenly awaiting the upcoming disclosure of October’s ZEW Economic Sentiment Survey. Forecasts hint at a possible uplift, with sentiment projected to evolve from -8.9 to a slightly better -8.0.
In a related development, Christine Lagarde, the President of the European Central Bank (ECB), has apprised the finance ministers of the eurozone about the ECB’s meticulous surveillance of energy valuations, coupled with the Israel-Hamas discord, both flagged as potential catalysts for inflationary pressures.
From a technical vantage, the 21-day Exponential Moving Average (EMA) settled at 1.0587 is posited as the proximate upward barrier. Breaching this boundary could bolster the EUR/USD pair’s drive, targeting the vicinity of the seminal 1.0600 tier and subsequently gravitating towards the 23.6% Fibonacci retracement anchored at 1.0643.
Contrastingly, a defensive stance is signalled with the week’s trough of 1.0508, aligning closely with the 1.0500 landmarks, poised as the next line of support.
Evidently, the Moving Average Convergence Divergence (MACD) trajectory remains subdued below the median, denoting the short-term average’s subservience to its long-term counterpart. Yet, a prominent deviation emerges as the MACD veers above its signal counterpart, suggesting a possible momentum tilt towards a bullish orientation.
Nonetheless, the overarching sentiment for the EUR/USD pair resonates with a bearish undertone, reinforcing a tilted bias. The 14-day Relative Strength Index (RSI) corroborates this sentiment, as it consistently resides beneath the benchmark 50 metrics.
ABOUT THE AUTHOR
See More
Sidebar rates
Related Posts
SaveAdd 3440
Join 350 000+ traders receiving Free Trading Signals
Alerts
Rates
Calendar
Signals