EURUSD falls; Eurozone economic outlook due to be released【August 23, 2023】

August 23, 2023

Markets Analysis

Fundamental Analysis

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EURUSD Technical Analysis

Analysis of the daily chart of the Eurodollar shows that the dollar is buying more and the euro is weakening as a result. The economic outlook for the Eurozone is scheduled to be released today, and depending on the outcome, the market may move higher.

On the technical front, a rebound at the 72 moving average was confirmed, but after hitting the day’s highs, selling pressure has increased and the price has fallen below the price milestone. With this move, a decline to the 240 moving average is in view.


Day Trading Strategy (Hourly)

Analysis of the hourly chart of the Eurodollar shows a rebound due to profit-taking after yesterday’s sharp drop to the -3σ of the Bollinger band. The $1.085 level is functioning as an important milestone, and a return move may occur around this price.

A return move strategy would be a good strategy as the price is expected to return to the 10 moving average, which indicates a short-term trend. The entry price is set at $1.086 (10 moving average) and the target for settlement is $1.0815 (-2σ). Meanwhile, the stop loss should be set at $1.088 (the middle line of the Bollinger band).

Support and Resistance Lines

The resistance line to be considered in the future is as follows

1.085 USD – Major milestone price


Market Sentiment

EURUSD Sell: 20% Buy: 80%

Today’s Important Economic Indicators

Economic Indicators and EventsJST (Japan Standard Time)
NZ Retail Sales7:45
Japan Manufacturing Purchasing Managers’ Index9:30
EU Economic Outlook19:00
U.S. Building Permits21:00
Canada Retail Sales21:30

*Trading advice in this article is not provided by Milton Markets, but by Shu Fujiyasu Jr., a certified technical analyst.

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