29 Jul 2013
EUR/USD insulated by support in 1.3275 region
FXstreet.com (New York) - The EUR/USD foreign exchange rate has started the trading week off on a negative foot, pointing away from a sustained run at the 1.3300 level Monday during Asian trading.
EUR/USD event risk
The economic calendar looks fairly thin to start off the week, however this figures to pick up rapidly, starting with German CPI (Tuesday), followed by German Unemployment and EMU CPI (Wednesday), the ECB interest rate decision (Thursday), and finally US payroll data (Friday)
EUR/USD strategic bias
The EUR/USD is presently operating at 1.3277, incurring a marginal loss of -0.04%. Briefing the technicals, the EUR/USD remains fortified by support at 1.3274 (55-day MA), ahead of 1.3258 (July 26 low), and 1.3242 (200-day SMA).
According to the TD Securities Team, The short-term EUR/USD pattern of trade on the hourly charts shows a rising wedge forming, which is a classic sign of a market rally that is running out of momentum. Moreover, the EUR/USD’s move above 1.32 did confer a bit more strength on the EUR outlook in the near-term. However, short-term patterns also reveal signs of frailty in the rally, which makes it hard to get too enthusiastic about the prospects for a significant extension higher at this point. Near-term prospects turn bearish for the EUR/USD again below 1.3195/00 early this week.”
EUR/USD event risk
The economic calendar looks fairly thin to start off the week, however this figures to pick up rapidly, starting with German CPI (Tuesday), followed by German Unemployment and EMU CPI (Wednesday), the ECB interest rate decision (Thursday), and finally US payroll data (Friday)
EUR/USD strategic bias
The EUR/USD is presently operating at 1.3277, incurring a marginal loss of -0.04%. Briefing the technicals, the EUR/USD remains fortified by support at 1.3274 (55-day MA), ahead of 1.3258 (July 26 low), and 1.3242 (200-day SMA).
According to the TD Securities Team, The short-term EUR/USD pattern of trade on the hourly charts shows a rising wedge forming, which is a classic sign of a market rally that is running out of momentum. Moreover, the EUR/USD’s move above 1.32 did confer a bit more strength on the EUR outlook in the near-term. However, short-term patterns also reveal signs of frailty in the rally, which makes it hard to get too enthusiastic about the prospects for a significant extension higher at this point. Near-term prospects turn bearish for the EUR/USD again below 1.3195/00 early this week.”