Thursday, November 1, 2018

EUR/USD - 01 November 2018


Fundamental Highlights

The Euro retreats slightly higher as the greenback’s rally cools down. Although the US ADP job report showed better than expected figures, US Dollar bulls decided to take it easy on their greenback bullish bets as this month’s major NFP report is set to be released on Friday. The Euro’s rise was also marginally supported by the announcement that the EU and the UK have reached an agreement on a financial services deal post Brexit. For today, the focus will be on any developments related to Brexit and the ISM Manufacturing PMI figure from the US.

Technical Analysis

After the failed attempt to form a new yearly low, the Euro bounced back up. Most recently, the Euro broke above the 13-period moving average signaling a shift in the short term momentum of the currency. A break above the 1.1371 resistance level will confirm a continuation in the short term upward bias of the pair and drive the currency towards the next key resistance level at 1.1446.

Support: 1.1322 / 1.1285
Resistance: 1.1371 / 1.1446

Chart (H4)