EUR/USD Price Forecast: Placing a Buy Limit at $1.1845
- French Flash GDP for the quarter surged to 0.9% against the projected 0.8% and supporting the Euro.
- German Prelim GDP for the quarter dropped to 1.5% against the anticipated 2.0%.
- Forex trading market participants will likely take a buy position above the $1.1845 level to target the $1.1906 and $1.1940 levels.
The EUR/USD is trading bullish at the 1.1879 level, facing immediate resistance at the 1.1906 level. A day before, the EUR/USD currency pair reached its one-month highest level during the early trading hours of Friday. The EUR/USD price forecast remains bullish above the 1.1845 level.
EUR/USD Stays Below 1.1900 Level Amid Stronger Dollar
The EUR/USD faced pressure during the second half of the day as the U.S. dollar started getting attraction after the release of the U.S. macroeconomic data for the day.
Quick Update on Euro Fundamentals
At 10:30 GMT, the French Consumer Spending in June dropped to 0.3% against the predicted 0.6%. It eventually weighed on the single currency Euro that added loss in EUR/USD.
The French Flash GDP for the quarter surged to 0.9% against the projected 0.8% and supporting the Euro.
At 11:45 GMT, the French Prelim CPI for July surged to 0.1% against the forecasted -0.1% and supported Euro limiting the declining prices of EUR/USD. At 12:00 GMT, the Spanish Flash GDP for the quarter rose to 2.8% against the predicted 2.1%.
The Italian Monthly Unemployment Rate for June remained lower at 9.7% against the expected 10.6% and supported Euro.
At 13:00 GMT, the German Prelim GDP for the quarter dropped to 1.5% against the anticipated 2.0% that capped further loss in EUR/USD currency pair.
On the other hand, the Italian Prelim GDP for the quarter also cheered and rose to 2.7% against the predicted 1.3%. Positive data supported EUR/USD currency pair.
At 14:00 GMT, the CPI Flash Estimate from the whole bloc rose to 2.2% against the projected 2.0%. Whereas the Core CPI Flash Estimate for the year remained flat as expected 0.7%.
EUR/USD Price Forecast – Daily Technical Analysis: Major Support $1.1845
EUR/USD price forecast remains bullish over the $1.1844 support level. On Monday, the EUR/USD’s bullish bias continues to dominate the market.
The major currency pair gains immediate support above 50 days EMA (exponential moving average – red line). In comparison, this EMA is holding at 1.1860 level. Bearish crossover below this EMA can drive further selling until the 1.1844 level. However, it’s not worth selling below 1.1860 until the 1.1840 level is violated.
The bearish breakout of the 1.1840 support level can drive sharp selling until the 1.1760 support level. Alternatively, the resistance stays at the 1.1906 level. While a bullish breakout of the 1.1906 level can extend buying trend until the 1.1960 level.
The Forex trading market participants will likely take a buy position above the $1.1845 level to target the $1.1906 and $1.1940 levels. Conversely, selling can be seen upon breakout of $1.1840 level today. All the best!
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