Weekly Forecast - EUR/USD – 21st – 25th June

Weekly Forecast - EUR-USD – 21st – 25th June

EUR-USD curved bearish in the long-run; decline could spread to 1.1700.

The pair - EUR-USD - plunged to 1.1846, its deepest in two consecutive months, and ended the week very close to such a low. United States Federal Reserve engraved life to the forex markets with a bullish shock, which increased requests for the buck.

Upcoming week - More informs

Statistics-wise, the European Union printed April Industrial Production, which increased to a gigantic 39.3% YoY. However. the Trade Balance surplus diminished to a sum of €9.4 billion. Price rises in the Union were established at 2% YoY in May. The German Consumer Price Index was published at 2.4% within the same period.

The industrial sector is anticipated to have made better than the services one, though the indexes for the US and the EU are expected well into the growth region.

Next Thursday, the United States will put out the last sort of its Q1 GDP and PCE inflation and May Durable Goods Orders. By Friday attention will be on the Nations May Personal Consumption Expenditures Price Index, formerly at 3.6% YoY.

Technical Analysis – EUR-USD

The pair plunged for its third successive week, making its longest weekly weakening for 2021. The long-run depiction proposes that more drops are possible as the pair sits just beneath the 61.8% retracement of its recent rally between prices 1.1703 and 1.2266.

Technical speculations from the weekly chart depict a bearish extension, as the pair has cracked below a now-mildly bearish 20 SMA, while technical pointers curved abruptly lower, and are currently within negative regions.

Also, the daily timeframe shows how bears took over the pair, which presently builds beneath all of its MAs. Technical pointers partly lost their bearish forte close to oversold levels but lacking symbols of changing direction.

The subsequent support line is at 1.1840, trailed by the 1.1770 price level. A plunge beneath this last level should expose the entrance for a trial of the 1.1700 level. EUR-USD needs to improve overhead 1.1985, the 50% retracement of the revealed rally, to have odds of improving more, eyeballing then the 1.2060-70 price region.

Sentimental Analysis – EUR-USD

Bears hold the momentum of EUR-USD, with more investors betting for lower lows. Averagely, the duo is seen at 1.1854, very much unmoved, as hypothetical attention still needs to complete assimilating the recent Feds statement. Bulls expect the pair to improve above the 1.1900 zone on average.

In summary, the charts show that the three moving averages have curved bearish following a long session of ranging. Most price marks amass around or below the current level in the weekly and monthly charts, but those betting for another leg north are still the most in the longer-run standpoint.