EUR Analysis 11.11.2019

The single currency fluctuated in a narrow, bullish range during the Asian session to witness the bounce for the second session of its lowest since October 15 against the US dollar on the eve of developments and economic data expected on Monday by euro-zone economies and amid the absence of the US market at the beginning of this Week because of the US Veterans Day holiday.

At 05:16 am GMT, the euro against the US dollar rose 0.04% to 1.1025 levels compared to the opening at 1.1021, after the pair reached its highest level during the session at 1.1026, while the pair achieved the lowest at 1.1017, knowing that The pair started this week on a bullish price gap, after closing last week at 1.1018 levels.

Markets are looking ahead to the euro zone's largest economies, Germany's wholesale price index reading, which may reflect a rise of 0.2% versus a decline of 0.4% in September, comes before we see the third largest economy in the region revealed the industrial sector data with the release of The Industrial Production Index which may show a 0.4% decline versus a 0.3% rise in August.

On the other hand, investors are awaiting the outcome of the FOMC member and Chairman of the Federal Reserve Bank of Boston, Eric Rosengren at the Norwegian Central Bank in Oslo, hours before the start of the semi-annual testimony of the Federal Reserve Governor Jerome Powell before the US Congress in Washington. .

Markets are looking ahead Wednesday to the first half of the Fed's semi-annual policy testimony before the House Financial Services Committee, before Powell will deliver the second half of his testimony before the Senate Banking Committee next Thursday. Federal funds rate of 25 basis points for the third consecutive meeting at its last meeting.

At a press conference late last month following the October 29-30 FOMC meeting in Washington, Powell noted that the Federal Reserve would temporarily stop adjusting monetary policy until the end of the year. Unless expectations change substantially in the coming period.

Technical Analysis

EUR / USD continues to decline to confirm the breach of the 50% Fibonacci level, reinforcing expectations for the continuation of the bearish trend over the coming sessions, and the path is open to achieve our negative targets at 1.0995 and then 1.0950.

The negative effect of the double top pattern is still effective.

Expected trading range for today is between 1.0930 support and 1.1100 resistance.

Expected trend for today: Bearish.