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11 Mar 2015
EUR/USD: 1.0500 now in sight – FXStreet
FXStreet (Barcelona) - European yields extend their slump and so does the EUR, notes Valeria Bednarik, Chief Analyst at FXStreet, further adding that technicals favour the downside for the pair in the short-term, with a break below 1.0559 exposing 1.0500 level.
Key Quotes
“The EUR/USD unstoppable slide extended down to 1.0559 this Wednesday, with the pair unable to regain the 1.0600 figure early in the US session, resuming its decline after a short lived spike up to 1.0627 now the immediate short term support.”
“There was no data driving the pair lower but market sentiment, as the fall accelerated following a Draghi speech in an University, where he didn't said nothing already said before.”
“European yields are extending the slump started yesterday with the beginning of the QE program, which is also weighing in the common currency.”
“The technical picture continues to favor the downside in the short term, as the 1 hour chart shows that the price holds well below a bearish 20 SMA whilst the indicators head lower well below their midlines, and despite being in oversold territory.”
“In the 4 hours chart the technical indicators are also biased lower in extreme readings, with the RSI at 9.”
“Nevertheless, a downward acceleration below the mentioned daily low should signal further intraday declines, eyeing a test of the critical 1.0500 figure before some profit taking triggers an upward correction.”
“Support levels: 1.0560 1.0520 1.0490”
“Resistance levels: 1.0625 1.0660 1.0700”
Key Quotes
“The EUR/USD unstoppable slide extended down to 1.0559 this Wednesday, with the pair unable to regain the 1.0600 figure early in the US session, resuming its decline after a short lived spike up to 1.0627 now the immediate short term support.”
“There was no data driving the pair lower but market sentiment, as the fall accelerated following a Draghi speech in an University, where he didn't said nothing already said before.”
“European yields are extending the slump started yesterday with the beginning of the QE program, which is also weighing in the common currency.”
“The technical picture continues to favor the downside in the short term, as the 1 hour chart shows that the price holds well below a bearish 20 SMA whilst the indicators head lower well below their midlines, and despite being in oversold territory.”
“In the 4 hours chart the technical indicators are also biased lower in extreme readings, with the RSI at 9.”
“Nevertheless, a downward acceleration below the mentioned daily low should signal further intraday declines, eyeing a test of the critical 1.0500 figure before some profit taking triggers an upward correction.”
“Support levels: 1.0560 1.0520 1.0490”
“Resistance levels: 1.0625 1.0660 1.0700”