SniperFx

Archives

  • March 2023
  • February 2023
  • January 2023
  • September 2022
  • August 2022
  • January 2022
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019

Categories

  • Analysis
  • Bonds
  • COVID
  • Crypto
  • Forex
  • Forex Trading
  • Ideas
  • Investing
  • Stocks
  • Uncategorized
  • World
  • Home
  • Forex
  • Crypto
  • Contact
0 Likes
0 Followers
0 Followers
Subscribe
SniperFx
SniperFx
  • Bonds
  • Crypto
  • COVID
  • Forex
    • Forex Trading
  • Ideas
  • Investing
  • Stocks
  • World

Euro Weekly Forecast EURUSD Gains As Eurozone Data Show Modest Return To Growth

  • admin
  • February 25, 2023
  • 2 minute read
Total
0
Shares
0
0
0

EUR/USD TALKING POINTS & ANALYSIS

  • EUR/USD ticks up on better growth data
  • The European Central Bank’s Thursday rate rise was as expected and didn’t offer much support
  • US Data will be in focus as the session goes on

EURO WEEKLY FORECAST

The Euro managed modest gains against the US Dollar on Friday, helped in part by news that the Eurozone economy managed some growth at last last month.

The S&P Global’s Composite Purchasing Managers Index for the currency bloc climbed to a seven month high of 50.3 in January. That was above both December’s 49.3 and a preliminary reading of 50.2. The figure was also above the key 50 mark which separates expansion from contraction for the first time in seven months.

These figures came after better official figures Eurostat earlier in the week. They showed that the Eurozone economy expanded by 0.1% in the final quarter of 2022, outperforming expectations for a 0.1% drop.

Objectively these are not exactly stellar numbers, but they do at least raise some hope that outright recession can be avoided across the currency area.

The European Central Bank raised interest rates by a half-percentage-point on Thursday but the single currency slipped in the wake of that decision. Even though the ECB flagged the probability of another, similar increase next month, the meeting and its aftermath were well within market expectations. It takes a major hawkish surprise to support a currency much these days and there was no such thing on offer.

That said EUR/USD remains well supported by interest-rate prospects. It has risen consistently since September last year and is now back at highs not seen since April.

The rest of the day’s momentum is likely to come from the USD side of the pair, with heavyweight economic numbers due Stateside, including the monthly employment report.

EUR/USD TECHNICAL ANALYSIS

The broad uptrend channel from September, 2022 is facing a clear and sustained upside test, with the market having broken above it intraday on both Wednesday and Thursday of this week.

Bullish momentum has been sustained pretty consistently, to the point where the broad channel’s lower bound looks too far below the market to be relevant at this time. Indeed it hasn’t faced any sot of test since November 3, when the bounce higher was extremely strong.

A narrower channel can be clearly seen, however, it’s downside was tested much more recently, on January 6. It now provides probable support at 1.0561 should Euro bulls lose the will to keep trying the channel top. If they don’t, important resistance will probably come in at 1.11556, the last significant high above current levels. That was made on march 29.

Sentiment data from IG suggest that there is some debate as to whether the market is in any shape to push on much further from here. 58% of trades are bearish and, while that need not indicate any sustained fall for EUR/USD, the it may well mean that the current uptrend isn’t going to see a decisive break higher yet. The week’s close may be very instructive.

Total
0
Shares
Share 0
Tweet 0
Pin it 0
admin

Previous Article

US Sustained strength in real personal income is a mixed blessing – Wells Fargo

  • admin
  • February 25, 2023
View Post
Next Article

NZDUSD – Now Wait For The Bulls

  • admin
  • February 25, 2023
View Post
You May Also Like
View Post
  • Forex Trading

AUDUSD drops to over one-week low, below mid-0.6600s amid broad-based USD strength

  • admin
  • March 25, 2023
View Post
  • Forex Trading

EURCHF turns negative and retreats from tops near 1.0000 post-SNB

  • admin
  • March 23, 2023
View Post
  • Forex Trading

EURNOK to quickly test 11.70 if Norges Bank fails to deliver 25 bps rate hike – Credit Suisse

  • admin
  • March 22, 2023
View Post
  • Forex Trading

Gold and silver prices retrace after 10% rallies, bulls still favored

  • admin
  • March 21, 2023
View Post
  • Forex Trading

EURUSD to head lower toward 1.02 over the coming months – Danske Bank

  • admin
  • March 20, 2023
View Post
  • Forex Trading

USDCAD trims weekly losses, rises to 1.3770

  • admin
  • March 18, 2023
View Post
  • Forex Trading

USDCAD bounces off intraday low to 1.3700 as Oil retreats, mid-tier US, Canada statistics eyed

  • admin
  • March 17, 2023
View Post
  • Forex Trading

EURGBP recovers further from two-month low set on Wednesday, retakes 0.8800 ahead of ECB

  • admin
  • March 16, 2023

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Recent Posts

  • Trump warns of ‘death & destruction’ if charged with a crime
  • Britain’s John Lewis has lost its soul, says Mary Portas
  • Dan Gambardello: ADA Could Spike as Cardano Hits 4M Wallets
  • USDCAD Potential downsides
  • AUDUSD drops to over one-week low, below mid-0.6600s amid broad-based USD strength

Recent Comments

No comments to show.
Featured Posts
  • 1
    Trump warns of ‘death & destruction’ if charged with a crime
    • March 25, 2023
  • 2
    Britain’s John Lewis has lost its soul, says Mary Portas
    • March 25, 2023
  • 3
    Dan Gambardello: ADA Could Spike as Cardano Hits 4M Wallets
    • March 25, 2023
  • 4
    USDCAD Potential downsides
    • March 25, 2023
  • 5
    AUDUSD drops to over one-week low, below mid-0.6600s amid broad-based USD strength
    • March 25, 2023
Recent Posts
  • EURUSD Seen at 1.05 in three months – Rabobank
    • March 25, 2023
  • NFT investor accidentally burns $135K CryptoPunk trying to borrow money
    • March 25, 2023
  • N.B. to end COVID-19 PCR testing for most people April 1, memo reveals
    • March 25, 2023
Categories
  • Analysis (8)
  • Bonds (47)
  • COVID (73)
  • Crypto (65)
  • Forex (81)
  • Forex Trading (46)
  • Ideas (46)
  • Investing (46)
  • Stocks (89)
  • Uncategorized (40)
  • World (195)
SniperFx
  • Home
  • Forex
  • Crypto
  • Contact
Forex & Crypto Updates

Input your search keywords and press Enter.