Because the Euro makes up 57% of the DXY, EUR/new USD’s lows are due in part to DXY’s new yearly highs!

The EUR/USD pair has been trading at lower lows and lower peaks for some time now.
As a result, we have a decline.
However, the Euro may not be the most important factor, as the US Dollar is.
It is urgently attempting to push over the long-term trendline (red) that dates back to 2011. The US Dollar Index broke out of the short-term, symmetrical triangle near 94.40.
94.56 is the current price, and it’s moving towards the 94.76 highs of September 24th, 2020, where it will be blocked by the trendline.

Tradingview and Stone X are good sources of information.

The US Dollar Index (DXY) measures the strength of the US dollar.

EUR/USD makes up 57% of the US Dollar Index (DXY), so it’s no surprise that as the DXY pushes towards new highs, that EUR/USD is moving in a similar, but opposite, direction. The two currencies have fallen to their lowest level since July 21st, 2020, when they hit a low of 1.1524.
In August and September, price established a double top near 1.1905, and on September 29th, it eventually broke lower.
The price must first pass through solid support between 1.1490 and 1.1515 in order to reach the double top’s goal at 1.1400.

a Fibonacci retracement of 161.8 percent from the lows on August 20 to the highs on September 3

This is the point at which the price moves 50% back to the March 2020 lows.

Horizontal support goes back to the March 2020 highs.

Tradingview and Stone X, respectively, are the sources.

Keep an eye out for the RSI, which shows that price is preparing for a comeback.

 

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The decline within the channel is considerably more apparent on a 240-minute period.
Further support may be found at 1.1460 at the bottom of the downward-sloping channel’s trendline, as price advances towards the double-top objective.
The trendline at the top of the downward sloping price channel, which is approaching the current day’s highs of 1.1570, serves as resistance.
Price resistance is at the neckline of the double top around 1.1665, and then at the 50-Day Moving Average (as shown on a daily chart) near 1.1730 if price rises above this level.

As of July 21st, 2020, the EUR/USD exchange rate has dropped to its lowest level since that day.
Note, though, that the Euro is probably not the only cause.
DXY is 57% Euro, thus new lows might be due to DXY hitting fresh annual highs instead than just Euro weakness.

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