The EUR/USD has passed; the essentials of last week at corrected, but found support in the 1.0650 zone on Friday, and a rebound is not excluded for this week, while a busy economic calendar continues. could boost volatility Forex.
Remember that after a peak close to 1.0760 on Monday, the Euro Dollar fell. until’à a hollow at; 1.0655 Friday.
Regarding the reasons for this fall, it should be noted that the Dollar was weakened. reinforced by hawkish remarks from several members of the Fed, which, at agrave; failing to challenge expectations of another break in December, pushed back rate cut expectations for 2024.
This week, several leading statistics will still be likely to influence expectations for the next Fed meeting, and therefore the price of the EUR /USD.
After an empty day this Monday, we will indeed be monitoring the price index at the same time. US consumption will be forecast on Tuesday, while Wednesday will see PPI and retail sales.
Strong figures could further push back expectations for a decline in rates, and strengthen the greenback on Forex, to the detriment of EUR/USD.
Technical thresholds at monitor on EUR/USD
From a graphical point of view, it will be recalled that the decline in EUR/USD last week corresponded to; a rejection from the upper bound of a bullish channel visible since the beginning of October.
As a result, the bullish bias is not called into question, and will only be in the event of an exit from the bottom of the channel, that is to say in the event of a break below 1, 06 approximately.
In the immediate future, the threshold of 1.0650, however, appears as immediate support. À the rise, it is the zone of 1.0750-60 which is the first important obstacle, before 1.0790 – 1.08, a zone where; are currently at the 100 and 200 day MA.
Will the EUR/USD continue its correction in the face of this week's busy schedule?