EURUSD analysis 22.06.2020

The euro currency fluctuated in a narrow range tilted to the upside during the Asian session to witness its rebound from the lowest since June 3 against the US dollar on the cusp of developments and economic data expected on Monday by the economies of the euro area and the US economy the largest economy in the world and amid concern of A second wave of corona virus is spreading with the increase in the number of new infections.

At 05:26 am GMT, the euro pair rose against the US dollar by 0.10% to 1.1203 levels, compared to the opening levels at 1.1192 after the pair achieved its highest level during the trading session at 1.1205, while achieving the lowest in three weeks at 1.1169, Note that the pair eased the session on an upward price gap after the pair concluded the trading last week at 1.1178 levels.

The markets are looking to the German economy, the largest euro-zone economy, to disclose the monthly report of the German Central Bank, and that comes before we witness the preliminary reading of the consumer confidence index for the eurozone economies as a whole for the current month, which may reflect the contraction shrinkage to 15 versus 19 in the previous reading This past May.

On the other hand, investors are currently awaiting by the US economy the release of the Chicago Business Index reading for the month of May, before the housing market data was also revealed for the past month with the release of the Existing Home Sales Index, which may reflect a 2.3% decline to about 4.15 million homes Against a decline of 17.8% at about 4.33 million homes in the previous reading last April.

Other than that, the World Health Organization announced on Sunday the largest increase in the number of coronavirus infections in one day, as the number of new cases reached 183 thousand cases infected with Corona virus in the previous 24 hours, with Brazil recording 54,771 cases and a difference of 18,154 cases from the United States Which came second from the recent number of new infections by 36,617 cases.

India recorded more than 15.4 thousand new cases infected with coronavirus in one day, and health experts requested that increase in the number of new cases infected with coronavirus because it could be due to several factors including that more tests were done as well as a wider spread of infection, according to the latest figures Issued by the organization, the number of cases infected with the Corona virus rose to nearly 8.71 million, and 461,715 people were killed in 216 countries.

Technical analysis

The euro against the dollar succeeded in touching our first awaited target at 1.1175 and we notice that the price found strong support there, and was unable to break it after testing several times, to start the day with an upward slope and gradually move away from this level, which provides signals on the price trend to achieve instantaneous gains during the sessions Coming, mainly on his way to test the 1.1270 level.

Therefore, a bullish bias will be likely for today, noting that breaching the target level will lead the price to achieve more gains in the short term, while a break of 1.1175 is a negative factor that will pressure the price to make more bearish correction and head towards 1.1100 as a next negative station.

The expected trading range for today is between 1.1110 support and 1.1300 resistance.

Expected trend for today: bullish.