Euro-Dollar Decline, Attention on Whether USD 1.10 Becomes a Support Line【January 2, 2024】
Fundamental Analysis
USD/JPY opens lower, starting 2024 trading in the late 140s
Euro-Dollar continues to fall for two days, focus on whether USD 1.10 functions as a support line
As 2024 trading intensifies, European and American markets gradually become more active, possibly increasing trading volume
EURUSD Technical Analysis
Analyzing the daily chart of the Euro-Dollar market. Currently, after reaching a high of USD 1.1130, it has declined, and drawing a parallel channel, it continues to be in an uptrend, but it is now in a decline phase after touching the upper limit line. Whether USD 1.100 becomes the next important support line is being watched.
How long the dollar weakness will continue, and whether USD 1.10 will function as a support line and rebound, will be the focus going forward. At present, the Euro-Dollar is in a strong uptrend, but it may turn to a decline for a while due to touching the upper limit line.
Day Trading Strategy (1-Hour Chart)
Analyzing the 1-hour chart of the Euro-Dollar market. Currently, after reaching a high of USD 1.1130, the Euro-Dollar is declining. Drawing a parallel channel, the uptrend is continuing slowly, but it is now in a decline phase after touching the upper limit line. The key focus is whether USD 1.100 will function as the next support line.
Also, attention is being paid to how long the dollar weakness continues, and whether USD 1.10 will rebound as a support line. The future Euro-Dollar market is expected to develop based on the movements around the support line near USD 1.100 and the high of USD 1.1130.
The day trading policy is to buy on dips, with entry around USD 1.10, settling at USD 1.1045, and stop at USD 1.0965.
Support and Resistance Lines
Upcoming resistance lines to consider:
USD 1.10 – Round number & 240-moving average line
Market Sentiment
EURUSD Sell: 78%, Buy: 22%
Today’s Important Economic Indicators
Economic Indicators and EventsJST (Japan Standard Time)Australian Policy Interest Rate Announcement12:30
*Trading advice in this article is not provided by Milton Markets, but by Shu Fujiyasu Jr., a certified technical analyst.
Risk Disclaimer
This analysis is for educational purposes only and does not constitute investment advice. Trading forex and CFDs involves significant risk and may not be suitable for all investors. Past performance is not indicative of future results.
This analysis is for educational purposes only and does not constitute investment advice. Trading forex and CFDs involves significant risk and may not be suitable for all investors. Past performance is not indicative of future results.
