Tuesday, 27 December 2016

EUR/USD at neutral stance

During the past week the EUR/USD pair was hesitating amid thin trading sessions. The pair was mostly caught within tight range between 1.0430 – 1.0500, but meanwhile attempted to fall down to 1.0351, but closed higher at 1.0448.
The economic calender this week is not offering any significant events that could stir the markets. Also along with the Holidays Season we usually witness uninspired trading. 
Looking at the hourly chart, the short-term development is seen neutral. The price is currently moving together with the 20-day SMA and between the 100-day and 200-day averages. Indicators are showing mixed signs. RSI is around mid-lines, while stochastic heads north.
The trading bias remains neutral, but as long as the pair holds below 1.0500, the bears rule the trend. Support is located at 1.0400 and lower at 1.0350. Looking upwards resistance is placed now at 1.0460 and higher at 1.0500.


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