KEY GRAPHIC ELEMENTS
Currency traders should be timid until 2:30 p.m., when the producer price figure is due to be published. This evening at 8:00 p.m. it will be the Fed minutes which will liven up the currency market. If the easing of American rates and the dollar offers a lull for the euro, a still hawkish tone as well as a favorable outlook for the American economy could once again thwart the rebound of the euro. While awaiting potential new developments on the geopolitical front, investors are relying on the words of the President of the Federal Reserve of Atlanta, Raphael Bostic, who declared that the American central bank did not need to increase rates further of interest and that there was no recession coming. Technically the euro is trying to stabilize and could form a basis for accumulation implying neutrality in the medium term.
MEDIUM TERM FORECAST
Considering the key graphical factors that we have mentioned, our opinion is negative in the medium term on the Euro Dollar (EURUSD).
Our entry point is at 1.0660 USD. The price target for our bearish scenario is at 1.0400 USD. To preserve the invested capital, we advise you to position a protective stop at 1.0700 USD.
The expected profitability of this Forex strategy is 260 pips and the risk of loss is 40 pips.
News Bulletin 247 advice
DAILY DATA CHART
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