EUR/USD - wait for confirmation and short entry
EUR/USD is holding well above 200D moving average and rebounced several times. 50D moving average has crossed the 100D moving average at the beginning of the 2019 and is still raising which is usually a bullish indicator.
But...
In the US an important leading indicator for the industry had surged surprisingly. The purchasing managers index ISM had risen by 2.3 points to 56.6 points. Economists had expected a decline to 54.0 points. The indicator signals growth in the industry. In addition, the US economy created significantly more jobs in January than expected.
The US job market is in good shape .It is therefore questionable whether an extended break in the interest rate cycle of the US Federal Reserve is appropriate. In the medium term I expect further interest rate moves by the Fed, Renewed interest rate hikes in the US would tend to shore up the dollar. The constant uncertainty regarding the brexit also depresses the euro.
Good luck to all and have a nice weekend
But...
In the US an important leading indicator for the industry had surged surprisingly. The purchasing managers index ISM had risen by 2.3 points to 56.6 points. Economists had expected a decline to 54.0 points. The indicator signals growth in the industry. In addition, the US economy created significantly more jobs in January than expected.
The US job market is in good shape .It is therefore questionable whether an extended break in the interest rate cycle of the US Federal Reserve is appropriate. In the medium term I expect further interest rate moves by the Fed, Renewed interest rate hikes in the US would tend to shore up the dollar. The constant uncertainty regarding the brexit also depresses the euro.
Good luck to all and have a nice weekend
Trade active:
Take profit one reached - stop loss above 1,14
Trade closed: target reached:
Target two reached- awesome trade
The analyses provided are for informational purposes only and do not constitute financial advice or recommendations to buy or sell anything. The information presented is based on personal research and interpretation.
