EURUSD analysis 27.08.2020

The euro stabilized against most of the major currencies during Thursday's trading in a negative manner, in light of investor anticipation for the speech of Federal Reserve Chairman, Jerome Powell.

On the sidelines of the "Jackson Hole" forum, whose activities will start today, "Powell" will deliver a speech in which he will talk about the challenges of monetary policy and the efforts made to support the US economy is facing the consequences of Corona.

On the other hand, data on private loans and money supply in the eurozone will be released later today.

The second reading of the US GDP for the second quarter will also be released, and expectations are for a 32.5% contraction.

This and politicians in the European Parliament insist on linking budget payments to the European Union countries to fulfill their obligations towards human rights and freedom of the media and opinion.

In terms of trading, the euro fell against the US dollar by 06:41 GMT, less than 0.1% to 1.1829, and reached the highest level at 1.1851 and the lowest price at 1.1825

Technical analysis

The euro versus dollar pair tested the pivotal resistance 1.1845 and maintained its stability below it, to start presenting negative trades now, supported by the negative signs that appear through the stochastic indicator, to suggest a decline during the coming sessions and head towards visiting 1.1775 then 1.1710 as next major stations.

Thus, the bearish trend scenario will remain valid and effective unless the 1.1845 level is breached and stability above it.

The expected trading range for today is between 1.1710 support and 1.1900 resistance.

The expected general trend for today: Bearish.