EURUSD (October 18) - Continues to be Guided by the US Dollar
📖
EURUSD
FORECAST - PRICES, CHARTS, AND ANALYSIS
➡️ Middle East tensions rise, President Biden visits Israel, Fed speakers on tap.
➡️ EURUSD is starting to look trapped in a range.
The final Euro Area y/y core inflation reading (September) printed met initial expectations of 4.5%, down from 5.3% in August, while headline inflation fell to 4.3% against a prior month’s print of 5.2%. The Euro barely moved after the release with markets instead looking at other macro-economic drivers.
Financial markets are focusing on the volatile situation in the Middle East, as US President Joe Biden arrived in Israel for talks with PM Benjamin Netanyahu. However, his meeting with other leaders was canceled due to missile strikes in Gaza. Traders are turning to safe-haven assets like gold as the conflict escalates.
The EURUSD trading is driven by the US dollar, with little guidance from the Euro. The pair is currently range-bound between 1.0450 and 1.0630, but breaking below the 20-day moving average could lead to further downside pressure. Support levels are at 1.0500 and 1.0516, followed by 1.0450.
📊 Retail trader data shows 63.43% of traders are net-long
EURUSD
with the ratio of traders long to short at 1.73 to 1. The number of traders net-long is 3.14% lower than yesterday and 1.43% higher than last week, while the number of traders net-short is 1.20% higher than yesterday and 6.72% lower than last week.
EURUSD
FORECAST - PRICES, CHARTS, AND ANALYSIS ➡️ Middle East tensions rise, President Biden visits Israel, Fed speakers on tap.
➡️ EURUSD is starting to look trapped in a range.
The final Euro Area y/y core inflation reading (September) printed met initial expectations of 4.5%, down from 5.3% in August, while headline inflation fell to 4.3% against a prior month’s print of 5.2%. The Euro barely moved after the release with markets instead looking at other macro-economic drivers.
Financial markets are focusing on the volatile situation in the Middle East, as US President Joe Biden arrived in Israel for talks with PM Benjamin Netanyahu. However, his meeting with other leaders was canceled due to missile strikes in Gaza. Traders are turning to safe-haven assets like gold as the conflict escalates.
The EURUSD trading is driven by the US dollar, with little guidance from the Euro. The pair is currently range-bound between 1.0450 and 1.0630, but breaking below the 20-day moving average could lead to further downside pressure. Support levels are at 1.0500 and 1.0516, followed by 1.0450.
📊 Retail trader data shows 63.43% of traders are net-long
EURUSD
with the ratio of traders long to short at 1.73 to 1. The number of traders net-long is 3.14% lower than yesterday and 1.43% higher than last week, while the number of traders net-short is 1.20% higher than yesterday and 6.72% lower than last week.
Comment:
With the current recovery momentum of the US economy and increasing geopolitical tensions in the Middle East, the Euro may continue to decline in value in the near future, even reaching a new low this year.