By RoboForex Analytical Department
EUR/USD has grown to 1.0310. This is the high since 4 July 2022.
The euro is supported by the market interest to risk and strong confidence that the US Federal Reserve System on its December meeting will take a pause and increase the interest rate by fewer base points than before. For now, expectations concerning the rate and the speed of the tightening of the US monetary policy are the crucial factors.
As for the drivers for the euro itself, they are ridiculously few. The economy of the Euro zone is expected to have grown by 3.2% in 2022. Yet in 2023 it is forecast to slow down by 0.4%.
On H4, EUR/USD has completed a wave of growth to 1.0360. Today the market is forming a consolidation range under this level. With an escape downwards, a wave of decline to 1.0173 is expected to start. After this level is reached, a link of growth to 1.0250 is expected to start, followed by a decline to 1.0000. Technically, this scenario is confirmed by the MACD: its signal line is at the highs, preparing to begin a decline to zero.
Free Reports:
Sign Up for Our Stock Market Newsletter – Get updated on News, Charts & Rankings of Public Companies when you join our Stocks Newsletter
Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
On H1, the pair has completed a wave of growth to 1.0360. At the moment, it is forming a consolidation range beneath it. An escaped downwards to 1.0255 is 3xpected. After this level is reached, a link of growth to 1.0320 is not excluded, followed by a decline to 1.0141, from where the wave may continue to 1.0000. Technically, the scenario is confirmed by the Stochastic oscillator. Its signal line is near 20, preparing to grow to 50. A bounce off it downwards and a return to 20 are expected.
Disclaimer
Any forecasts contained herein are based on the author’s particular opinion. This analysis may not be treated as trading advice. RoboForex bears no responsibility for trading results based on trading recommendations and reviews contained herein.
- COT Metals Charts: Weekly Speculator Changes led by Platinum Nov 23, 2024
- COT Bonds Charts: Speculator Bets led lower by 5-Year & 10-Year Bonds Nov 23, 2024
- COT Soft Commodities Charts: Speculator Bets led lower by Soybean Oil, Soybean Meal & Cotton Nov 23, 2024
- COT Stock Market Charts: Speculator Changes led by S&P500 & Nasdaq Minis Nov 23, 2024
- Bitcoin price is approaching 100,000. Natural gas prices rise due to declining inventories and cold weather Nov 22, 2024
- USD/JPY Awaits Potential Stimulus Impact Nov 22, 2024
- RBNZ may cut the rate by 0.75% next week. NVDA report did not meet investors’ expectations Nov 21, 2024
- NZD/USD Under Pressure Amidst USD Strength Nov 21, 2024
- USDJPY bulls venture into intervention zone Nov 20, 2024
- The PBoC kept interest rates. The escalating war between Ukraine and Russia is negatively affecting investor sentiment Nov 20, 2024