Markets Analysis

Fundamental Analysis

• Currency markets move slightly higher as U.S. stock markets were closed
• Australian dollar policy rate due to be announced; rate expected to remain unchanged

EURUSD Technical Analysis

Analyze the daily chart of the EURUSD market. A rebound movement can be seen after failing to break the lows. This movement may have been influenced by the fact that the New York market was closed. As the New Yorkers return to the market today, dollar trading is expected to be more active.

Referring to the dollar index chart, the dollar has touched resistance, which may be a factor causing the dollar to weaken. In light of this situation, the EURUSD should also look for a recovery to the area of the turnstile on the Ichimoku Kinko Chart.

Day Trading Strategy (Hourly)

Analyze the hourly chart of the Eurodollar market. The price is moving above the 24 moving averages, i.e., the moving averages of the past day. The cloud is waiting on the upside, but the candlestick is above the base line and the conversion line, and the lagging line is also above the candlestick. In the short term, the possibility of a move to the upside is increasing.

Market sentiment has over 70% buy positions, and given that the New Yorkers are returning to the market, volatility is expected to pick up today. Therefore, caution should be exercised in the event of a sharp selloff involving stop-losses.

Our policy is to consider a deep return to the market. Entry is $1.085, stop is $1.0875, and settlement is targeted at $1.083.

Support and Resistance Lines

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

1.0850 USD – Major resistance level
1.0765 USD – Recent low

Market Sentiment

EURUSD　Sell: 29% Buy: 71%

Today’s Important Economic Indicators

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