EUR/USD: sellers still dominate, the hollow for the annual hand

© O Financista. EUR/USD continues its fall

By David Wagner

After spending most of the day in a range of less than 20 pips after a new drop yesterday, the EUR/USD pair resumes its drop to new lows this Thursday afternoon, closing in on yet more hollow statements.

The Euro-Dollar comes in effect to mark a low of 1.1115, compared to 1.1106 for the low annual 2019 may 23.

Many factors continue to weigh on the pair, starting with the rise of the Dollar today, the greenback has benefited from the growth figure for the US in Q1 in line with expectations, with a rise in GDP of 3.1% compared with 3.2% in first estimate, which seems to have been enough to support the greenback.

The concern also remains vivid in regards to a possible arm-wrestling the budget between the EU and Italy and the threat of a fine, as shown by the yield spread Italy-Germany, sui remains close to its recent peaks at 280 basis points.

The trade war China-USA that installs in the duration did nothing to reassure him, Europe is in a position more and more precarious as a major partner of the two parties, as the conflict has dragged on and broadens.

From a graphical point of view, the hollow for the annual 1.1106 could provide support, but below this threshold, little support can be identified before the psychological threshold key 1.10.

The increase, it would require a return above the moving averages 100 and 200 hours, and above 1.1175 to alleviate the bearish pressure.

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