EUR/USD: The trend remains broadly bearish on the Euro before the New Year


© O Financista. the trend remains bearish on the Euro-Dollar

Investing.com – After having started the week with a day of rise and a peak at 1.1438 on Monday, the pair EUR/USD keeps finally a profile overall bearish.

The dominant theme in the thinking of the traders remain in risk aversion, and the very strong rebound of the US stock exchanges yesterday, with an increase of nearly 5% for the Dow, and over 6% for the Nasdaq does not seem, for the moment, not enough to clear the pessimism of the traders, which finds its source in various factors.

Several folders weigh in effect on the morale of the investors : The government shutdown in the United States, the prospect of a turning dovish tone from the Fed for 2019, or the Brexit regularly interfere with the expectations on the Forex.

Today, the market will also focus on some economic data in the USA, with registrations weekly jobless claims at 14: 30, and then with the consumer confidence according to the Conference Board, and the sales of new homes, at 16h.

From a graphical point of view, it is interesting to note that an attempt to rise was stopped by the moving average 100 hours yesterday.

This morning, it is the line of downward trend visible since the 21 of December, which has stopped a bullish movement.

The line of downward trend, currently at 1.1390 about, the psychological threshold of 1.14 and the moving average 100 hours currently to 1.1404 form, therefore, a strong area of resistance immediately.

Beyond that, the bias to the downside would begin to be questioned, with possible targets at 1.1440-50, 1.1485 and 1.15.

At the downside, strong support is located at 1.1340-50, before the psychological threshold of 1.13, then the low annual 2018 to 1.1215.

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