EURUSD: Does the Bearish Momentum Indicate A Sell ?
October 20, 2021|The Forex Secret –This week is going to start with some essential releases, among them CPI y/y may stay stable this week as well at 3.2%, Eurozone PMIs, China’s GDP, Canadian CPI, German Flash Manufacturing PMI, German Flash Services PMI and Treasury Currency Report are the key market movers of this week. Therefore, we may expect the market to be a little volatile for EUR/USD.
EUR/USD started the week with a bullish momentum but today it took a turn to bearish momentum after a correction. In the picture above, we can see that the EUR/USD is currently trading parallely with the dynamic 20 EMA, which indicates the neutral position of the market. The current price is trading below the 1.1670 resistance level. If the daily candle closes above the 1.1670 resistance level, it indicates a buy. However if it can not break the resistance level of 1.1670 key level, it will alter the market condition and the buy will be invalid.
What Can We Expect from the EUR/USD ?
As per the above findings, we can expect that the EUR/USD is trading parallely with the dynamic 20 EMA, which indicates a neutral position of the market. Investors should focus on finding a sell near 1.1570 level. However, if the price moves up to the 1.1670 daily closed candle, investors should focus on finding a buy.