EUR/USD daily analysis the Bulls trying to gain control
Hello everyone , as we all know the market action discounts everything :)
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The EUR/USD regains composure and retakes the upper hand near 1.1890. In the last few days the price has bounced back up from the range of 1.17540 to the range of 1.19038, Could this be the push back up the bring the price to the range of 1.2080 ?
Well we see that bulls are trying to gain control but for them to gain control a few things must happen first
scenario 1
The price currently is at 1.18522 it needs to reach the first resistance line at 1.19330 and a power test will happen between the bears and the bulls and whoever win will affect the price, if the bulls were to wins then we could be seeing the price pushing even more and hitting the second resistance line at 1.19950 but if the bears were able to keep control then the price will most likely drop down and it will be heading to the support area around 1.17860.
scenario 2
If the bears take control before any major movement happening then the price will drop to the support line at 1.17860, and that gonna be the Bulls second chance to gain control where a battle will happen between the bears and bulls and the outcome will determine the outcome for the price for the period of time, If the bulls gained control then a certain bounce up will happen pushing the price to the range of 1.19330 but if the bulls fail to gain control then a further drop in price will happen and the market price will most likely hit the 1.17010.
Now let's look at indicators and see what they are telling us :
1) The market price above the 5 10 20 MA and EMA (short term Bullish sign) and still below the 50 100 200 MA and EMA .
2) The MACD is still Bearish but a positive crossover happening between the MADC line and the signal line with increase in strengths in the histogram (short term Bullish sign)
3) The ADX at 30.75 showing that the market is trending with a positive crossover between DI+ (18.73) and DI- (15.11)
4) The STOCH reached overbought zone (possible bounce down)
Support & Resistance points :
support Resistance
1) 1.1786 1) 1.1933
2) 1.1701 2) 1.1995
3) 1.1639 3) 1.2080
Fundamental point of view :
This week a few fundamental news will effect The Market price on the euro side like the German Retail Sales, final Manufacturing PMIs (Monday) – Final Services PMIs, EMU Retail Sales (Wednesday). so we will need to wait for them and see how they will effect the market price .
The EUR/USD finally managed to surpass the key barrier at 1.19 the figure last Friday, although bulls remained unable to sustain the move. The healthy recovery in spot clearly followed the increasing weakness surrounding the dollar, which was in turn propped up by the steady stance at the Fed’s event in past days. In the meantime, dollar dynamics in response to the US economic recovery, the Fed’s dovish stance and prospects of high inflation are still expected to dictate the price action in the pair for the time being. On the euro side of the equation, the re-affirmed dovish stance from the ECB (as per its latest meeting) is expected to keep the upside limited in spot despite auspicious results from key fundamentals and the persistent high morale in the region. According to FXstreet
This is my personal opinion done with technical analysis of the market price and research online from fundamental analysts for The Fundamental point of view , not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
_________________________________Make sure to Like and Follow if you like the idea_________________________________
The EUR/USD regains composure and retakes the upper hand near 1.1890. In the last few days the price has bounced back up from the range of 1.17540 to the range of 1.19038, Could this be the push back up the bring the price to the range of 1.2080 ?
Well we see that bulls are trying to gain control but for them to gain control a few things must happen first
scenario 1
The price currently is at 1.18522 it needs to reach the first resistance line at 1.19330 and a power test will happen between the bears and the bulls and whoever win will affect the price, if the bulls were to wins then we could be seeing the price pushing even more and hitting the second resistance line at 1.19950 but if the bears were able to keep control then the price will most likely drop down and it will be heading to the support area around 1.17860.
scenario 2
If the bears take control before any major movement happening then the price will drop to the support line at 1.17860, and that gonna be the Bulls second chance to gain control where a battle will happen between the bears and bulls and the outcome will determine the outcome for the price for the period of time, If the bulls gained control then a certain bounce up will happen pushing the price to the range of 1.19330 but if the bulls fail to gain control then a further drop in price will happen and the market price will most likely hit the 1.17010.
Now let's look at indicators and see what they are telling us :
1) The market price above the 5 10 20 MA and EMA (short term Bullish sign) and still below the 50 100 200 MA and EMA .
2) The MACD is still Bearish but a positive crossover happening between the MADC line and the signal line with increase in strengths in the histogram (short term Bullish sign)
3) The ADX at 30.75 showing that the market is trending with a positive crossover between DI+ (18.73) and DI- (15.11)
4) The STOCH reached overbought zone (possible bounce down)
Support & Resistance points :
support Resistance
1) 1.1786 1) 1.1933
2) 1.1701 2) 1.1995
3) 1.1639 3) 1.2080
Fundamental point of view :
This week a few fundamental news will effect The Market price on the euro side like the German Retail Sales, final Manufacturing PMIs (Monday) – Final Services PMIs, EMU Retail Sales (Wednesday). so we will need to wait for them and see how they will effect the market price .
The EUR/USD finally managed to surpass the key barrier at 1.19 the figure last Friday, although bulls remained unable to sustain the move. The healthy recovery in spot clearly followed the increasing weakness surrounding the dollar, which was in turn propped up by the steady stance at the Fed’s event in past days. In the meantime, dollar dynamics in response to the US economic recovery, the Fed’s dovish stance and prospects of high inflation are still expected to dictate the price action in the pair for the time being. On the euro side of the equation, the re-affirmed dovish stance from the ECB (as per its latest meeting) is expected to keep the upside limited in spot despite auspicious results from key fundamentals and the persistent high morale in the region. According to FXstreet
This is my personal opinion done with technical analysis of the market price and research online from fundamental analysts for The Fundamental point of view , not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.