Vlad Demochko
Since the beginning of the week EURUSD has been showing an indistinct but rather weighty bearish tendency. By now the currency pair has updated its local low at 1.3290.
The unfavorable economic situation in Europe presses the common European currency and makes the market be uncertain. Slovakia, one of the latest EU newcomers, adds fuel to the fire. In particular, the Slovakian speaker says that if the situation with the debt crisis goes on like this Slovakia will have to quit the Euro zone. Of course, the disintegration of the EU is very unlikely to start in the near future, but anyway such statements do not add optimism.
This day is very rich in macroeconomic news releases: 9.30GMT (UK), 10.00GMT (Euro zone), 11.00GMT (UK), 12.00GMT and 15.30GMT (US). Despite the wide spectrum all the news releases have a limited impact on the market.
For today, Dec 15th, the Department of Volume Analysis of has defined the following trends:
The mid-term trend of EURUSD is bearish
The short-term trend of 6ECONT (EURUSD futures):
1.3307 looks significant for the current market situation. The level is created during today’s Euro session. The volume is about 1000 lots. If the bulls manage to break through the bearish resistance and settle above it then the uptrend will be highly probable. If there is a downward impulse from the local high, the bears will still be dominating.
Vlad Demochko
