empty
 
 
07.01.2021 06:43 AM
Forecast for EUR/USD on January 7, 2021

EUR/USD

The euro, as a risk currency, grew yesterday as a response to the information that the Democrats had won a seat in the upper house of the US Congress. At the same time, the latest macroeconomic report from ADP showed disappointing results on new jobs in the private sector - the index showed a decrease by 123,000 in December against expectations of an increase of 60,000 and an increase of 304,000 in November. Some believe that the upcoming data on unemployment will come out even worse; the forecast for Non-Farm Employment Change is 98,000 against 344,000 in November, the unemployment rate is expected to rise to 6.8% from 6.7% in November.

This image is no longer relevant

It is difficult to determine where the euro will go with such data, since the January-April 2018 range is very wide (1.2206-1.2555), there are potential reversal levels within it in increments of 40 points. But at the same time, rising by another 70-100 points will not break the divergence with the Marlin oscillator on the daily chart, which will preserve the euro's potential for a reversal. In this section, we will define the 1.2397-1.2414 range as the target, taken at the extremes on April 11 and 17, 2018.

This image is no longer relevant

The short-term price decline was stopped by the MACD line on the four-hour chart. The price divergence with the oscillator is held. We are waiting for the euro to rise to the specified target range of 1.2397-1.2414, but we do not recommend opening longs. Getting the price to settle below the MACD line (1.2268) will signal an attack on support at 1.2215.

Laurie Bailey,
Analytical expert of InstaForex
© 2007-2024
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $8000 more!
    In March we raffle $8000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS

Recommended Stories

Can't speak right now?
Ask your question in the chat.
Widget callback