EUR/USD Dec. 1 – Showing Signs of Recovery

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EUR/USD is recovering above 1.30 after good after the fall yesterday and some good data now. Is it gaining energy for a new fall, or has it reached a bottom? Here’s a quick update on technicals, fundamentals and community trends.

euro dollar December

Euro/Dollar recovering above 1.30.

EUR/USD Technicals

  • Asian session:  EUR/USD struggled under 1.30, and eventually managed to climb above it.
  • Current Range between 1.30 to 1.3114.
  • Further levels in both directions: Below   1.3114, 1.2920, 1.2722, 1.2587. Above   1.32, 1.3267, 1.3334, 1.3430, 1.3640, 1.37, 1.3830, 1.3950 and 1.4030.
  • 1.2720 is the next, very strong support line.
  • 1.3830 significant higher point – far away now.

EUR/USD Fundamentals –

  • 7:00 German Retail Sales. Exp. +1.3%. Actual +2.3%.
  • 9:00 European Final Manufacturing PMI. Exp. 55.5 points.
  • 13:15 US ADP Non-Farm Payrolls. Exp. 70K.
  • 14:10 US FOMC member Janet Yellen talks.
  • 15:00 US ISM Manufacturing PMI. Exp. 56.4 points.
  • 15:00 US Construction Spending. Exp. -0.3%.
  • 19:00 US Beige Book.

* All times are GMT.

EUR/USD Sentiment

  • Contagion is very strong – with troubles already in 5 countries. Spanish bonds yields are above 5.5% and Italian bonds sit above 4% already.
  • Irish deal is better than expected, with an interest rate of 5.8%, but it doesn’t prevent contagion to Spain and Portugal.
  • US data today, ADP NFP and especially the manufacturing PMI provide great indicators for the Non-Farm Payrolls on Friday.
  • Currensee Community: 49% are long , 51% are short- yesterday we had more longs. These are 1251 open positions in real accounts trading this pair at the moment. Now the community leans towards a change.

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About Author

Yohay Elam – Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I’ve accumulated. After taking a short course about forex. Like many forex traders, I’ve earned the significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I’ve worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.

1 Comment

  1. Currency Exchange Dude on

    The long term issues behind the EU debt crisis have not yet been solved. Until the euro zone is restructured (either using a two-tier system, or even political union and a centralised fiscal policy under the ECB) then confidence in the euro won’t increase.