EURUSD Under Pressure, Rebounds Caped by the 50-Day MA
EURUSD is under selling pressure during the European session at 1.10193 as traders await the US President Donald Trump speech in the Economic Club of New York at 17:00GMT for fresh clues on the trade negotiations progress. On the data front, Germany’s ZEW Economic Sentiment Index came in at -2.1 beating expectations of -13 in November, while the Current Situation ZEW Survey came in at -24.7 below expectations of -22 in November.
The United States NFIB Business Optimism Index came in at 102.4, below forecasts of 103.5 for October.
EURUSD trades close to daily lows and below the crucial 50-day moving average which pierced after the news that a trade deal might be delayed for December. On the technical side the momentum has turned bearish now as the pair trades below the 50 and 100-day moving averages. The rebound from two-year lows at 1.0878 stalled at 1.1172 amid support that risky assets found on better news from US-China trade tensions and Brexit. The correction has driven the price back to 1.10 zone.
Now on the downside, immediate support stands at 1.1010 daily lows, a break below that level might attract more sellers to join the action that may drive the price down to 1.0990 the low from October 15th. On the upside, immediate resistance stands at 1.1038 today’s high, a break above can lead prices up to 1.1106 the 100-day moving average below an attempt for the 1.1179 monthly high.More content