Recent rebound largely attributed to the dollar weakness and the optimistic German data
Since the daily studies RSI and oscillator have picked up and the sentiment has been improving, the rally has extended beyond the top end of the descending triangle. In response to the dollar sell-off the euro off more than 2.00% from the May-June double bottom.
Turning to EA data, German factory orders helped the euro to bounce last week. We learned that New orders in manufacturing had increased in May 2018 by 2.6% from the April 2018 a decrease of 1.6%.
At the time of preparing the article EURUSD is trading with 0.30% gains led by better German data. German foreign trade balance recorded a surplus of 20.3 billion euros in May 2018. Exports increased by 1.8% and imports by 0.7% compared with April 2018, published by Destatis. Looking ahead it’s a reasonably quiet week except for today’s Draghi speech.
Intraday resistance zone seems to be at between 1.1820-1.1850 with supports are well placed at 1.1750 and 1.1730
Read: Focus on EURUSD range
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