Post Details

Fundamental Analysis: Today’s EUR/USD news is driven by several fundamental factors. Recent Eurostat data indicates a positive trend in Eurozone industrial production, suggesting economic recovery. The upcoming Eurogroup meeting, where finance ministers will discuss economic policies, could further impact the EUR/USD forecast. On the USD side, significant events include the Empire State Manufacturing Index, providing insights into business conditions in New York state, and speeches by Federal Reserve officials Jerome Powell and Mary Daly, which may offer clues about future monetary policy.

Price Action: The EUR/USD H4 chart shows a consistent uptrend within a rising channel. The price has been making higher highs and higher lows, indicating a strong bullish trend. Currently, the pair’s price action is testing the upper boundary of the channel, suggesting potential resistance. A correction may occur before the pair continues its upward trajectory.

Key Technical Indicators:

• Ichimoku Cloud: The price is trading above the Ichimoku Cloud, indicating a bullish trend. The cloud itself is also rising, supporting the bullish outlook. The conversion line (blue) is above the baseline (red), another bullish signal.
• RSI (Relative Strength Index): The RSI is at 63.47, in bullish territory but not yet overbought, suggesting there is still room for the price to move higher before reaching overbought conditions.
• MACD (Moving Average Convergence Divergence): The MACD line is above the signal line, and the histogram shows positive values, indicating bullish momentum. However, the decreasing histogram bars may suggest weakening bullish momentum.

Support and Resistance:

• Support Levels: Immediate support is at 1.0843, followed by stronger support at 1.0750.
• Resistance Levels: Immediate resistance is at 1.0987. If the price breaks above this level, the next target is 1.1050.

Conclusion and Consideration: Today’s EUR/USD technical analysis shows strong bullish signs on the H4 chart, supported by key indicators like the Ichimoku Cloud, RSI, and MACD. While the RSI indicates room for growth, traders should watch for potential resistance at current levels. Fundamental factors, such as economic data releases from the Eurozone and the US and comments from Federal Reserve officials, could impact the pair’s movement. Traders should consider these events and use proper risk management techniques, including stop losses, given the potential for volatility.