|Day's Range||1.107 - 1.11|
|52 Week Range||1.0882 - 1.1514|
Nobody expects any policy changes when European Central Bank big shots meet Thursday, but Christine Lagarde could still drop some worthwhile hints about the path ahead.
The Euro went back and forth during the trading session on Wednesday, as we continue to hang around the 50 day EMA. This is a market that remains very choppy so there isn’t much to do here other than range trade.
Investing.com - The U.S. dollar edged higher Wednesday as traders took a calmer view of the emergence of the pneumonia-like virus in China, but its gains were minimal and caution was still abundant.
During the trading session on Tuesday, we have seen the Euro rally significantly to break above the top of the hammer from the Monday candlestick. This was facilitated by a stronger than anticipated German ZEW.
IMF attributes ‘the lion’s share’ of downward revision to ‘more subdued growth forecast’ for India. Asia’s third-largest economy, is expected to grow by 5.8% in 2020, a 1.2 percentage point markdown from the organization’s October forecast.
EUR/USD is showing strong bearish price action after breaking below the support trend lines. Price action looks ready for a decisive breakout below 1.1090.
President Donald Trump is due to deliver a speech to the World Economic Forum in Davos. While in Switzerland, Trump will be meeting with foreign counterparts including European Commission President Ursula von der Leyen, as attention turns to trade relations with Europe after the U.
More stats due out of the UK could test the Pound further this afternoon. Earlier in the day, the BoJ held rates steady.
Investing.com - The Japanese yen is in demand Tuesday as a safe haven currency with the outbreak of the pneumonia-like virus in China sparking a bout of risk aversion.
The Euro rallied a bit during the trading session on Monday but ran into a ton of trouble at the 1.11 handle, and then dropped. However, we have seen to try to recover since then as well.
Based on the early price action and the current price at 1.1085, the direction of the EUR/USD the rest of the session on Monday is likely to be determined by trader reaction to the main Fibonacci level at 1.1080.
Monday is a day off in the American markets due to the Martin Luther King’s Day. Because of the holiday, trading on other markets also promises to be muted.
Investing.com - The U.S. dollar was largely flat in European trading Monday, with the U.S. holiday providing little incentive for traders to take risks. That said, the greenback still looks strong against its main competitors.
The PBoC left LPRs steady this morning, with some time likely needed to asses the impact of recent cuts and the phase 1 agreement.
The Credit Suisse global strategy team’s annual surprise predictions include a surge in U.S. stocks and a bursting of the Chinese bubble.
The Euro tried to rally during the week but ran into a lot of trouble at the 50 week EMA. At this point, the market looks very likely to continue to drift a little bit lower, as we are in the middle of a larger range.