November 15, 2021

What Is The Reaction Of EUR/USD At This Week's Market Opening?

The USD appears to have fallen slightly as a result of the publication of preliminary readings of spending survey data measuring consumer finances during the disappointing New York (Friday) session.


However, such influence could not dampen the dominance of the USD at this point which continues to expand its strength as the king of the currency following the rise in inflation.


Investors are now waiting for a new catalyst on the United States (US) economy, namely retail sales data on Tuesday, as well as waiting for the Federal Reserve (Fed) to implement an interest rate hike.


Looking at the price chart of the EUR/USD pair, the price was seen moving horizontally and slowly at the close of trading last week (Friday) to hover at the level of 1.14500.


The price movement is still trading below the Moving Average 50 (MA50) barrier level to stay with the bearish trend.


But at the opening of this week's trading session in the Asian session (Monday), the price seems to have jumped slightly around 20 pips in an attempt to overcome the MA50 level.



Investors are likely to watch the SBR (support become resistance) zone of 1.15000 to be reached again if the price starts giving early signals for the price movement to continue to show a surge.


While the next resistance zone will be observed in the SBR 1.16000 zone which is seen as the strongest barrier level to be passed in November trading.


If the price movement manages to last long in maintaining the bearish momentum, the support zone at 1.14000 will likely be the next target of investors.


The decline to the support zone will also see the price again on the EUR/USD chart to record the latest lows for 2021 and since July 2020.