Forex Trading: EURUSD Technical Analysis – August 23, 2019

The Euro (EUR) inched higher against the US Dollar (USD) on Friday, this caused an increase in the price of EURUSD, bringing it to more than 1.1000. The price of the pair increased after major economic news released. Considering the price movement of the pair over the past few days, it is anticipated that the technical bias may remain bearish because the pair’s price marked a higher low in the recent upside move.

EUR/USD Technical Analysis

Currently, the pair is being traded around 1.1130, a trendline resistance can be seen around 1.1173, the key horizontal resistance level ahead of 1.1200, the psychological number and then comes 1.1263, the 61.8% Fib level resistance as shown in the given chart.

EURUSD 23 AUGUST 2019

Talking about the downside, support can be seen around 1.1117, the trendline support ahead of 1.1082, the confluence of two trendlines and then 1.0206, the major horizontal support which is likely to prevent the price from decreasing further as demonstrated in the given above chart. The technical bias may remain bearish as long as 1.1117, the major horizontal resistance level remains intact.

USD Average Hourly Earning News

In the United States, the figure concerning the labor’s earning on an average rate per hour remained 3.2% in March, as compared to 3.4% during the month before, down beating the economist expectation which was 3.4%. The data is sourced from the news released by the Department of Labor, United States.

The data takes into account after the number of people employed in the labor category over the given period of time. It is to be noted that the figure is derived on a sampling basis. It should not be deemed as an exact figure but it can be considered as an average. It indicates the cost of inflation rated as well as the strength of the labor market. Generally speaking, high reading in this regard is considered as a bullish trend for the US Dollar (USD) and vice-versa.

Trade Idea

Considering the overall price behavior of the pair over the last couple of days, buying the EURUSD around current levels can be a good decision in short to medium term.

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