On Tuesday, Euro bottomed out and rebounded to 1.1740. Friday's US employment report triggered market speculation that the Fed may begin to reduce the scale of asset purchases in this year and raise interest rates as soon as 2022. In contrast, almost no one expects the European Central Bank to hint at a reduction in its stimulus plan in the short term. The market showed optimism about the prospect of economic recovery, prompting the U.S. index to record gains for two consecutive trading days and the devaluation of Euro.
From a technical point of view, Euro’s daily line is bearish for 5 consecutive days, breaking through the key position of 1.1700 in early trading, and quickly rebounded back near 1.1740, and the indicator was neutral but tends to be bearish. H4 graph shows that the candle maintains a downward channel. The short-term bottoming and rebound indicate that the support below is extremely strong. Overall prioritize operate on the fluctuation zone. Consider the support zone and resistance zone, the deciding point whether to buy or sell is near 1.1700.
Resistance：1.1770-1.1800-1.1830
Support：1.1700-1.1680-1.1650
This material is from Quant Tech Limited and is being posted with permission from Quant Tech Limited. The views expressed in this material are solely those of the author and/or Quant Tech Limited and BTCDana is not endorsing or recommending any investment or trading discussed in the material. Before acting on this material, you should consider whether it is suitable for your circumstances and as necessary, seek professional advice