EURUSD analysis 21.10.2020

The single currency, the euro, fluctuated in a narrow range sloping upward during the Asian session to witness its highest since September 21 against the US dollar amid scarcity of economic data by the economies of the euro area and on the cusp of economic developments and data expected today, Wednesday, by the US economy, the largest The world which includes FOMC members speaking via satellite.

At exactly 06:35 am GMT, the euro pair rose against the US dollar by 0.19% to 1.1845 levels, compared to opening levels at 1.1822, which is the lowest level for the pair during the session's trading, while the pair achieved its highest level in a month at 1.1850.

Investors are currently awaiting the American economy for what will be revealed by the members of the Federal Reserve Open Market Committee, Deputy Governor of the Federal Reserve Bank Lyle Brainard on economic and monetary policy at an Internet conference hosted by the Association of Professional Economists, before the speech of Cleveland Federal Reserve President Loretta Meester about Monetary Policy in the Virtual Conference of the Association of Total Fiscal and Financing.

Down to the Fed disclosure of the Big Book report, whose importance lies in its being issued two weeks before the FOMC meeting, which is scheduled to be held on the third and fourth of November, that is, in conjunction with the US presidential elections between Republican US President Donald Trump and a candidate Democratic Party Joe Biden, who is currently ahead of the US President forty-fifth in opinion polls.

Technical analysis

The EUR / USD pair shows a more bullish tendency to continue approaching our first awaited target at 1.1865, and gets continuous positive support from the 50 EMA, which supports expectations of achieving more gains during the upcoming sessions, noting that breaching this level will extend the bullish wave to reach To 1.2011 as a next target.

Note that the resistance of the 1.1865 level in front of the current bullish wave will force the price to rebound to the downside and head to a possible test of 1.1720 areas before any new attempt to rise.

The expected trading range for today is between 1.1760 support and 1.1940 resistance.

The expected general trend for today: Bullish.