EUR/USD Shows Strong Rise To $ 1.19000

 The USD dollar continued to depreciate until the end of the week after being affected by the results of the FOMC meeting early Thursday morning.

Also adding pressure to the US dollar in the New York session yesterday when preliminary readings for US Gross Domestic Product (GDP) growth for the second quarter failed to meet upside expectations.

U.S. jobless claims data for last week also posted a figure of 400,000 which still signals a risk to the labor sector.

On the price chart of the EUR/USD pair it can be observed that the weak US dollar factor has pushed the price up towards the resistance zone of 1.19000 as expected by analysts.

Investors will evaluate the price reaction in the zone for an indication of the direction of further price movements.

If the bullish pattern is maintained, the rise that breaks the 1.19000 zone will continue to rise to a higher focus level at the resistance of 1.20000.

Can the price reach back to the 1.20000 level after 5 weeks of falling below that level?

However, if the 1.19000 zone remains a hard -to -break resistance, the price decline is seen to return to the 1.18000 support level.

A drop below the Moving Average 50 (MA50) support level on the 1 -hour time frame could also be a signal for a bearish trend again.

Moving lower below the 1.18000 level will push expectations for the price towards the 1.17000 support zone.

Previous Post Next Post