Friday, November 20, 2020

Eh! EUR / USD Boosted Originally Towards 1.19000

 The US dollar is still not showing a clear direction of movement as seen as moving weakly at the end of trading this week.

In addition to mixed developments between vaccines and virus outbreaks, investors also monitor developments in the United States (US) economic stimulus.

It is reported that the Senate leaders of the Republic have agreed to continue the talks on the original economic stimulus.

Political sentiment in the US is seen as still unstable after the end of the US President's election, which witnessed the victory of Joe Biden and killed Donald Trump.

While the US moved weakly, the euro currency triumphed again showing a subsequent surge in the Brexit issue which returned to positive, suggesting an increase in European currency.

Although the Covid-19 outbreak in Europe is still in the equilibrium stage which previously put pressure on the Euro, prices have been victorious during the New York session last night.

In the EUR / USD pair price chart, the price that previously displayed the initial pattern of price decline has re-jumped before removing the moving average 50 (MA50) barrier on the frame of the 1 hour price movement.

The overnight drop to a level of around 1,18200 returned to its original 60 pips level of 1,18800 and closed New York session trading around that high.

The rise in price is expected to test the 1.19000 resistance zone which is still failing to be penetrated since being tested last week and also this week.

If the price breaks through the resistance zone to go higher, the high level at 1.20000 will be the next target price.

However if the price returns to its original decline, the overnight low of around 1.18200 will be tested before heading to the 1.18000 pedestal zone as well.