EUR/USD: High Bullish Momentum; Extended vs 75-Day EMA
- Lester Davids
- 2 days ago
- 2 min read
Trade FX: EUR/USD with Unum Capital.
To get started, email lester@unum.co.za
Further to last week's post: The pair is trading at it's most extended vs 75-day EMA in over a decade. This points to the pair trading at/near a short term overbought range.
Previous Post (10 April): EUR/USD: High Bullish Momentum / Approaching Overbought
Previous Post (08 April)
EUR/USD: Strong upside follow-through over the past 10 weeks
Previous Post (Monday, 20 January at 13h38): EUR/USD Attempting A Bullish Reversal Following An Aggressive Sell-Off
Let's break down the EUR/USD trend analysis based on the price action model:
Overall Trend: Long Term: Persistently Weak But Monitor Lower Times For Rebound Potential
Short-Term Trends:
7-Day Trend: Neutral
14-Day Trend: Rangebound
Short-Term Trading Opportunities: No explicit short-term buy/long position opportunities are indicated in the image.
Medium-Term Outlook (2 to 4 weeks): Strong Attempting At Bullish Reversal Following Aggressive Sell-Off
Long-Term Outlook (5 to 8 weeks): Persistently Weak But Monitor Lower Times For Rebound Potential
Summary: The EUR/USD pair is currently in a long-term downtrend. In the short term, the 7-day trend is neutral, while the 14-day trend is rangebound. There is no explicit signal for a short-term buy or long position. However, the medium-term outlook suggests a potential bullish reversal following a recent sell-off. In the long term, the pair is expected to remain weak, but with potential for rebounds.
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Lester Davids
Analyst: Unum Capital
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