EURUSD Analysis 21.01.2019

The single currency of the European Union region fluctuated in a narrow upward range during the Asian session to see its rebound to its second-lowest session since January 4 against the US dollar on the brink of economic developments and data expected Monday by the biggest euro zone economies. The US market was absent earlier this week due to the Martin Luther King Day celebration.

At 05:05 GMT, the EURUSD rose 0.11% to 1.1375 compared to the opening at 1.1363 after the pair reached a high of 1.1409, while reaching a low of 1.1360.

Markets are looking for the German economy to see the producer price index, which is a preliminary index of inflationary pressures, which may reflect a contraction of 0.1% from 0.1% in November, while the annualized reading of the same index may show growth slowing to 2.9% versus 3.3% The previous annual reading for the month of November, comes before we see the disclosure of the monthly report of the Bundesbank.

Technical Analysis

The EUR / USD pair has seen weak trading now and is stabilizing at the support of the ascending secondary channel which is now rising to 1.1345, noting that breaking this level will complete the formation of a bearish continuation pattern that will push the price towards the 1.1181 level directly.

Overall, we will continue to push the downside if the 1.1443 level is not breached and stability is over, noting that the markets may see weak trading today with the impact of the holiday in the US markets.

The trading range for today is expected among 1.1300 support and 1.1443 resistance

Support and resistance:

Support: 1.1341-1.1300-1.1210-1.1181

Resistance: 1.1386-1.1443-1.1500

The general trend for today is bearish