EURUSD: Although EUR closed higher the past week, it faces downside pressure after losing a quarter of its last week gains (see daily chart). This development leaves it vulnerable to the downside.
Resistance is seen at the 1.1150 level with a cut through here opening the door for more upside towards the 1.1200 level. Further up, resistance lies at the 1.1250 level where a break will expose the 1.1300 level.
Conversely, support lies at the 1.1050 level where a violation will aim at the 1.1000 level. A break of here will aim at the 1.0950 level with a turn below that level targeting the 1.0900 level. All in all, EUR faces downside threats in the medium term.
In this week’s podcast, we explain why EUR rallied on Draghi, what’s next, discuss oil and gas, run through the Plus500 story and preview next week’s events.
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