The single European currency is gradually restoring its position against the US dollar, using as support the desire of investors to avoid risk. Eurocurrency also supported the growth of cross-rate EUR / GBP on the weakening of the British currency before the referendum. On Monday, the important economic news was not, the market shifts its attention to the forthcoming meeting of the Federal Reserve.
The EUR / USD spent almost the entire Monday at the level of 1.1250. The pair has consolidated after a sharp decline, which occurred last week. Quotes pair began correction during the American session. It was possible to test 1.1300, but the pair did not manage to go higher. Support level is at 1.1250, the resistance level at 1.1300.
The MACD is in the negative zone. The indicator decreased, which is a signal to sell. Oscillator RSI rebounded from oversold zone, and it is a signal to buy. A rebound above 1.1250 is considered as correct. Moving Average 50 is directed downward, that is considered to be a signal to sell.
The forecast of the euro dollar EUR / USD
The market is influenced by sellers. Preferably open short positions. If a couple is reduced, the price will move towards 1.1130. It does not exclude a correction to the level of 1.1370, if the pair bounced up on the moving averages (50, 100, 200).
Source Fort Financial Services