EUR/USD: The recent fluctuations make the trend is unclear in the short term

© O Financista. The trend is still uncertain on EUR/USD

After a first part of a day upward, and a top at 1.1418 in the morning yesterday, the pair EUR/USD began a sharp correction, up to a low of 1.1316 for the moment on this Wednesday morning.

The Euro-Dollar suffers first a sharp rise of the Dollar since yesterday afternoon, after indications that the relations between China and the United States would not have improved as much as the market was once thought to be a result of the G20, with the last several differences of opinion in the interpretation of the agreements concluded at the summit since they were announced.

The Brexit is also a topic that has weighed on the Euro yesterday, via the correlation with the GBP/USD, which plunged from a high at 1.2840, and a low of 1.2658 in a few hours.

In the case of Italy, some positive signs can be identified in the subject of the negotiations with the EU about the budget, but the threat of sanctions still hovering as long as the EU has not officially stated that the amendments to the budget granted by Italy to him seem sufficient.

From a graphical point of view, the hesitation displayed by the Euro to the upside and to the downside since the beginning of the week make the trend of short-term uncertain.

The first support near the current level is at 1.1315-20, before the psychological threshold of 1.13, then the low of last week at 1.1265.

The increase, the area of 1.1350 is to be regarded as immediate resistance before 1.14, 1.1415-25, 1.1450, 1.1475 and 1.15.

Finally, as regards the economic calendar, it should be noted that traders will be watching the PMI services final of the euro area for the month of November at 10am, and then the same indicator for the United States at 15: 45, before the Beige Book of the Fed 20h.

You will of course also be attentive to any statement in regard to the budget Italian, Brexit, or the trade war China-USA.

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