The EUR / USD trades held on Monday in a very narrow range, maintaining the lateral direction of movement. Such dynamics of the movement was quite expected, since the market was virtually no important news that could significantly change the balance of power in the market.
Today during the Asian session trading, investors watched the performance of Jerome Powell, who noted increased risks for the US economy, in connection with the achievement of the company's liabilities highs relative size of the economy. However, the US dollar is practically ignored these statements and continues to trade in the green zone by weakening other currencies G7. Among the most important events, which today can affect on the dollar is to provide the publication of data on sales of existing homes and the performance of FOMC Member Rosengren.
The European currency remains under pressure ahead of the elections to the European Parliament, which will be held from 23 to 26 May. Likely before the announcement of the official results of the demand for the euro will remain low. A significant factor of pressure for the currency remains the difficult economic situation in the EU, as well as risks associated with Brexit. Today in Europe there is no important economic news, so the main impact on trading will provide the US dollar and the motion vector of the stock market.
On the EUR / USD chart after a small correction the pair will continue to move downward. Now the EUR / USD reached the intermediate target at 1.1140, from where you can expect the recoil motion. But on a more long-distance priority remains bearish scenario EUR / USD movement, targeting 1.1100.
resistance levels EUR / USD: 1.1180, 1.1220, 1.1260.
Levels of support for EUR / USD: 1.1140, 1.1100, 1.1000.
The main scenario - correction of EUR / USD at 1.1180 area and a new wave of reduction of the euro to 1.1100.
Alternative Scenario - consolidation below 1.1140 and decreased EUR / USD to 1.1100.
On the EUR / USD chart is still bearish trend prevails, thus fundamentally on the market right now there are no factors that could expand the price up. Therefore, intra-day we give priority to sell the pair EUR / USD, which are worth looking for near the 1.1180 mark.
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Based on materials FortFS