Current trend
The pair continues to grow and has reached the maximum level since the beginning of the year. The USD is under pressure of the news that two more Republicans won’t support the health care reformation law. The failure of Trump’s Administration to fight the Obamacare program, which the President consider inefficient and economically unfair, strikes the Administration. In addition, this scenario questions the implementation of the tax reformation.
The market is clearly imbalanced, and it affects the whole dynamics of the market, while the lack of the FRS support of the USD last week can be a part of the regulator’s strategy. In short-term and middle-term period the weak dollar can help the FRS to stabilize the current rates policy with the other countries, which can increase the rates in the nearest future.
Today the US Export and Import Price Indices are worth traders’ attention today, as the EU ZEW Survey on Economic Sentiment is too.
Support and resistance
On the daily chart the pair is trading near the upper border of Bollinger Bands. The indicator is pointed upwards, as the price range widened, reflecting the development of the upward trend. MACD histogram is in the positive zone; its volumes are growing, keeping a buy signal. The volumes line of the Stochastic indicator entered the overbought area; the signal line is correction below the overbought border.
Support levels: 1.1470, 1.1430, 1.1375, 1.1315.
Resistance levels: 1.1540, 1.1570, 1.1630, 1.1710.
Trading tips
Long positions can be opened at the current price with the target at 1.1670 and stop loss at 1.1470. Implementation period: 1-3 days.
Short positions can be opened at the level of 1.1470 with the target at 1.1300 and stop loss at the level of 1.1535. Implementation period: 2-3 days.
The pair continues to grow and has reached the maximum level since the beginning of the year. The USD is under pressure of the news that two more Republicans won’t support the health care reformation law. The failure of Trump’s Administration to fight the Obamacare program, which the President consider inefficient and economically unfair, strikes the Administration. In addition, this scenario questions the implementation of the tax reformation.
The market is clearly imbalanced, and it affects the whole dynamics of the market, while the lack of the FRS support of the USD last week can be a part of the regulator’s strategy. In short-term and middle-term period the weak dollar can help the FRS to stabilize the current rates policy with the other countries, which can increase the rates in the nearest future.
Today the US Export and Import Price Indices are worth traders’ attention today, as the EU ZEW Survey on Economic Sentiment is too.
Support and resistance
On the daily chart the pair is trading near the upper border of Bollinger Bands. The indicator is pointed upwards, as the price range widened, reflecting the development of the upward trend. MACD histogram is in the positive zone; its volumes are growing, keeping a buy signal. The volumes line of the Stochastic indicator entered the overbought area; the signal line is correction below the overbought border.
Support levels: 1.1470, 1.1430, 1.1375, 1.1315.
Resistance levels: 1.1540, 1.1570, 1.1630, 1.1710.
Trading tips
Long positions can be opened at the current price with the target at 1.1670 and stop loss at 1.1470. Implementation period: 1-3 days.
Short positions can be opened at the level of 1.1470 with the target at 1.1300 and stop loss at the level of 1.1535. Implementation period: 2-3 days.