AED
USD 0.27
AFN
USD 0.01
ALL
USD 0.01
AMD
USD 0.00
ANG
USD 0.56
AOA
USD 0.00
ARS
USD 0.00
AUD
USD 0.66
AWG
USD 0.56
AZN
USD 0.59
BAM
USD 0.55
BBD
USD 0.50
BDT
USD 0.01
BGN
USD 0.55
BHD
USD 2.65
BIF
USD 0.00
BMD
USD 1.00
BND
USD 0.74
BOB
USD 0.14

EURUSD Technical Analysis

0 53

The Euro is spiking to the upside at the mid-session on Friday as buyers took advantage of the thin holiday volume. The move may have been fueled by end-of-the-year position-squaring or possibly the news that China would raise its Euro weightings in its key Yuan Index basket.

At 16:44 GMT, the EUR/USD is trading 1.1374, up 0.0049 or +0.44%. The Invesco CurrencyShares Euro Trust ETF (FXE) is at $105.70, up $0.48 or +0.46%.

China will adjust the weightings of a key Yuan index basket in 2022, the country’s foreign exchange trading platform said on Friday, in a move traders and analysts said would help ensure the Yuan’s value does not act as a brake on China’s exports.

Starting on January 1, the China Foreign Exchange Trade System (CFETS) will increase the U.S. Dollar’s weighting in the CFETS currency basket to 19.88% from 18.79% and raise the Euro’s weighting to 18.45% from 18.15%, according to an online statement.

Daily Swing Chart Technical Analysis

The main trend is down according to the daily swing chart, however, momentum is trending higher. A trade through 1.1383 will change the main trend to up. A move through 1.1186 will reaffirm the downtrend.

The minor trend is up. This is controlling the momentum. A trade through 1.1274 will change the minor trend to down.

The nearest support is the pivot at 1.1326. The next support is the long-term Fibonacci level at 1.1291.

On the upside, the first target is a pivot at 1.1397. A second pivot at 1.1439 is additional resistance.

Daily Swing Chart Technical Forecast

The direction of the EUR/USD into the close on Friday is likely to be determined by trader reaction to 1.1326.

A sustained move over 1.1326 will indicate the presence of buyers. Taking out the intraday high at 1.1380 will indicate the buying is getting stronger. This could trigger a further move into the main top at 1.1383.

Leave A Reply

Your email address will not be published.