FXStreet (Moscow) - EUR/USD staged a good recovery from Wednesday’s low of 1.3332 ()currently the pair is trading at 1.3388), but longer-term perspectives leave much to be desired as long as the pair trades below 1.3400.

EUR is on the verge of the abyss

EUR/USD weekly picture is depressing, moreover, the single currency has a good chance to continue the downside both on a longer term and on a shorter term scale. Markets are driven by rate differentials now, thus EUR is behind the eight ball. ECB meeting scheduled on Thursday will hardly change anything as the European central bank is on the verge of launching a sort of QE program, while FED and BOE are moving in the opposite direction. The closest bearish aim is now set at 1.3325/20 (option barrier coupled with a host of strong bids and stops). That’s where new buyers might emerge to trigger a short-term correction.

What are today’s key EUR/USD levels?

Today's central pivot point can be found at 1.3368, with support below at 1.3347, 1.3312 and 1.3291, with resistance above at 1.3403, 1.3424, and 1.3459. Hourly Moving Averages are bearish, with the 200SMA bearish at 1.3404 and the daily 20EMA bearish at 1.3466. Hourly RSI is bullish at 58.

Related Articles
  1. Investing News

    China’s Forex Reserves Dropped Significantly

    China’s forex​ reserves dropped by a record $93.9 billion at the end of August to $3.56 trillion because the Central Bank has been selling dollars to provide a cushion to the falling yuan​
  2. Forex

    The Pros and Cons of a Fully Convertible Rupee

    Amid the rising economic power of India, the talks of making the Indian currency fully convertible are gaining momentum. We look at the pros and cons.
  3. Forex Fundamentals

    Chinese Yuan an Unlikely Reserve Currency

    As the world's second largest economy, China's challenge to America’s dominance includes a push to make the yuan (RMB), the world’s reserve currency. Whether it can do that now is unclear.
  4. Economics

    How Currency Enforcement Helped Sink The Trans-Pacific Partnership (TTP)

    One particular barrier to trade that has received much attention of late and caused delays in negotiations of the TPP is exchange-rate manipulation, by which a country artificially devalues its ...
  5. Forex

    Top U.S Forex News Sites

    Breaking news moves forex markets. Here are the top U.S. sites for tracking forex news.
  6. Investing

    Financial News Comparison: Bloomberg Vs. Reuters

    Access to financial information has grown with the expansion of digital news. Bloomberg and Thomson Reuters lead the pack, claiming a majority of the business information market.
  7. Economics

    Who Benefits From South Korea's Lowered Interest Rates?

    South Korea is the latest country to cut interest rates in an attempt to stimulate economic growth.
  8. Forex Education

    The Top Uses For P2P Currency Exchange

    Peer-to-peer (P2P) currency exchange networks offer a viable and cheaper alternative for buying and selling currencies.
  9. Forex

    Steps To Open An Offshore Forex Account

    Here is a simple breakdown of how to open an offshore forex account for US-based users, including legal requirements.
  10. Entrepreneurship

    Top Forex Trading Apps

    A brief overview of the top apps that help forex traders with on time information, charts and more.

You May Also Like

Trading Center
You are using adblocking software

Want access to all of Investopedia? Add us to your “whitelist”
so you'll never miss a feature!