EURUSD: NEWS & TECHNICAL
Euro slide as dollar marches higher
After previously reaching a 24-year high versus the Japanese yen, the dollar gained momentum against the euro and pound on Thursday as investors prepared for higher U.S. interest rates and remained concerned about the state of the European economies.
The pound struck a new two-and-a-half year low of $1.15545 down roughly 0.5% as the safe-haven dollar was boosted by swings away from riskier assets. The euro fell by 0.37% to just cling over parity versus the dollar at $1.10016.
The U.S. dollar index, which compares the value of the dollar to a basket of other currencies, increased by 0.34 percent to 109.09, not far from the two-decade high of 109.48 reached on Monday.
According to a poll, manufacturing output in the eurozone decreased for a second month in August, echoing a global decline in industrial activity. Despite a minor down this week, European energy prices are still quite high.
EUR/USD Technical Analysis: Daily Chart
In the daily charts, EURUSD is trading in down channel. EURUSD is currently trading below all SMA.
RSI is in selling zone which indicates bearishness. MACD is currently below zero which indicates bearishness.
Its immediate support is 0.9912 & the resistance level is at 1.0042.
EURUSD will trade in down channel until there is trend reversal.
How to Trade EURUSD this Week:
EURUSD will follow the downtrend until their trend reversal. So, remain bearish on EURUSD.
