EUR/USD returned into the previous range after testing deeper waters. We have a rather busy day before Christmas. Will the Euro continue the gradual fall? Here’s a quick update on technicals, fundamentals and community trends.
Euro/Dollar small recovery
- Asian session: Active session saw EUR/USD bouncing back up.
- Current Range between 1.3114 to 1.13180.
- Further levels in both directions: Below 1.3114, 1.30, 1.2920, 1.2722, 1.2587. Above 1.3180, 1.3267, 1.3334, 1.3576, 1.37, 1.3786, 1.3950 and 1.4030.
- 1.3070 new lower frontier.
- 1.3440 is important resistance above and remains as such after a breakout attempt failed.
EUR/USD Fundamentals –
- 7:00 German Import Prices. Exp. +0.5%.
- 13:30 US Final GDP. Exp. 2.8%.
- 14:00 Belgian NBB Business Climate. Exp. 1.2 points.
- 15:00 US Existing Home Sales. Exp. 4.72 million.
* All times are GMT.
For the major events due later in the week, see the EUR/USD outlook
- Portugal is under review for a downgrade.
- France is danger of suffering a credit rating downgrade – France is Europe’s second largest economy. A downgrade or a warning will send the Euro way down.
- There are fresh worries if the Irish bailout will indeed work out.
- Now, Spanish banks are under review by Moody’s.
- China said it helped the Euro-zone during the crisis, and is trying to get closer to Europe before the US-China summit. Will they push the Euro higher? Probably not.
- US bond yields take a break – they’re not challenging new highs. This mostly affects USD/JPY, but also EUR/USD.
- Currensee Community: 50% are long , 50% are short. These are 1264 open positions in real accounts trading this pair at the moment.