Fundamental Analysis

• The market remains quiet with few participants due to the Christmas holidays.
• Both the stock market and the forex market are operating on shortened trading schedules.

EURUSD Technical Analysis

Analyzing the daily chart for EURUSD, the pair continues its downward trend, with 1.033USD acting as a support level.

The 52-day moving average is capping the upside, indicating an overall trend of selling EUR and buying USD.

The pair has rebounded twice from 1.033USD. A third test of this level may occur if the price challenges it again.

Due to the holiday season, market activity is subdued, and little movement is expected today. Any significant developments will likely be deferred to the following week.

Day trading strategy (1 hour)

Analyzing the 1-hour chart for EURUSD, today’s market remains quiet due to the Christmas holidays, making price movements hard to predict.

With shortened trading hours, the market is expected to remain within a narrow range.

No day trading strategy will be implemented today. Typically, the holiday period sees limited price action, reducing trading opportunities. As the forex market operates on a shortened schedule, traders are advised to relax and prepare for next week’s activity.

A speech by the Bank of Japan Governor is scheduled for today. Holding open positions may lead to difficulties in closing trades, and price gaps at tomorrow’s market opening are possible. Caution is advised.

Support/Resistance lines

Key support and resistance lines to consider:

• 1.033USD: Recent lowest point

Market Sentiment

EURUSD: Sell: 21% / Buy: 79%

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.