Sunday, July 31, 2011

EUR/USD 1,4399

The Euro finished on Friday around the same price level it opened Monday’s Asian session against the Dollar and ended July with a small monthly loss far from the lows.

EUR/USD jumped on Friday after the release of week economic data in the US and recovered from weekly lows at 1.4230, reaching levels above 1.4410. The pair erased weekly losses but it was unable to hold above 1.4400.

Next week will be important for markets observers: the debt ceiling in the US will be reach, the ECB and the BoE will decide on monetary policy and next Friday, the big employment report will be published in the US including the unemployment rate and non-farm payrolls.

These events are likely to increase volatility in the market and particularly in the EUR/USD. The Euro could come under pressure once again if the market turns its attention from the debt ceiling crisis toward the EU debt crisis, pointed out Ilian Yotov, FX Strategist and Founder at AllThingsForex.

“The probability that the euro will reach over 1.4696 next week is extremely high, the probability that it will move above 1.4748 though is very low,” said Lara Iriarte, Director and Technical Analyst at ElliottWaveForex on its forecast. According to her the EUR/USD should find a high between those levels before turning to the downside for a new strong trend.


source: fxstreet.com

2 comments:

  1. Excellent information as always!

    ReplyDelete
  2. Better to have loved and lost than never to have loved at all

    ReplyDelete