EURUSD moves back into swing area

The
 
 EURUSD 
EUR/USD

The EUR/USD is the currency pair encompassing the European Union’s single currency, the euro (symbol €, code EUR), and the dollar of the United States (symbol $, code USD). The pair’s rate indicates how many euros are needed in order to purchase one dollar. For example, when the EUR/USD is trading at 1.2, it means 1 euro is equivalent to 1.2 dollars.  Why the EUR/USD is the Most Popular Trading PairCompared to all tradable currencies, the euro (EUR) is the world’s second most traded currency, behind only the US dollar. This currency pair is the most traded and liquid currency pair on the market.As the most popular trading pair, the EUR/USD is a staple of every brokerage offering and often has some of the lowest spreads relative to other pairs. Ultimately, the currency follows the two most economic blocs in the world and sees the most volume for this reason.The EUR/USD has a wide range of factors that influence its rates. From the EUR side, economic data in the Eurozone as well as internal factors in the bloc can easily impact rates. Even small member states can effectively weigh on the EUR, as seen in Greece during bailout talks in the 2010s. Alternatively, developments in the United States and the Federal Reserve commonly affect the EUR/USD. Many examples include the bailouts during the Financial crisis, tax cuts during the Trump Administration, and Covid-19 relief measures, among others.

The EUR/USD is the currency pair encompassing the European Union’s single currency, the euro (symbol €, code EUR), and the dollar of the United States (symbol $, code USD). The pair’s rate indicates how many euros are needed in order to purchase one dollar. For example, when the EUR/USD is trading at 1.2, it means 1 euro is equivalent to 1.2 dollars.  Why the EUR/USD is the Most Popular Trading PairCompared to all tradable currencies, the euro (EUR) is the world’s second most traded currency, behind only the US dollar. This currency pair is the most traded and liquid currency pair on the market.As the most popular trading pair, the EUR/USD is a staple of every brokerage offering and often has some of the lowest spreads relative to other pairs. Ultimately, the currency follows the two most economic blocs in the world and sees the most volume for this reason.The EUR/USD has a wide range of factors that influence its rates. From the EUR side, economic data in the Eurozone as well as internal factors in the bloc can easily impact rates. Even small member states can effectively weigh on the EUR, as seen in Greece during bailout talks in the 2010s. Alternatively, developments in the United States and the Federal Reserve commonly affect the EUR/USD. Many examples include the bailouts during the Financial crisis, tax cuts during the Trump Administration, and Covid-19 relief measures, among others.
Read this Term is back up retesting a swing area between 1.1359 and 1.1368. Within that range also sits the 38.2% retracement of the move down from last Thursday’s high which comes in at 1.13617.

The price is higher today, but earlier in the New York session there was a spate of buying in the USD. The dollar moved to new session highs vs the
 
 GBP 
GBP

The Great British pound (GBP) or pound sterling is the official currency of the United Kingdom, Jersey, Guernsey, the Isle of Man, Gibraltar, South Georgia, and other pacific territories.The GBP is currently the fourth most-traded currency worldwide in forex markets after the US dollar, euro, and Japanese yen.As the oldest currency in continual use, the GBP holds great weight on the world market and is also the fourth largest reserve currency.The Bank of England (BoE) is the central banking authority responsible for the curation of the GBP, issuing its own banknotes, as well as regulating the issuance of banknotes by private banks in both Scotland and Northern Ireland. What Factors Affect the GBP?Like any widely traded currency there are several factors that affect the GBP. As is often the case, monetary policy is extremely impactful. Any announcements or policy decisions by the BoE are always closely watched given its potential to move the GBP.Additionally, consumer prices (CPI) in the UK as well as levels of inflation carry a lot of weight and routinely affect the value of the GBP in forex markets.Other metrics of note include measures of gross domestic product (GDP) in the UK or growth, consumer sentiment, or confidence.Most recently, the drama surrounding Brexit as well as the potential fallout of negotiations have added another layer of uncertainty to the GBP.The UK at the time of writing is headed for a historic schism with Europe, though a deal has not yet been agreed upon with both sides unable to come to an agreement.With a smooth resolution nowhere in sight, any developments or an eventual finality to Brexit will be extraordinarily important to both the short- and long-term value of the GBP.

The Great British pound (GBP) or pound sterling is the official currency of the United Kingdom, Jersey, Guernsey, the Isle of Man, Gibraltar, South Georgia, and other pacific territories.The GBP is currently the fourth most-traded currency worldwide in forex markets after the US dollar, euro, and Japanese yen.As the oldest currency in continual use, the GBP holds great weight on the world market and is also the fourth largest reserve currency.The Bank of England (BoE) is the central banking authority responsible for the curation of the GBP, issuing its own banknotes, as well as regulating the issuance of banknotes by private banks in both Scotland and Northern Ireland. What Factors Affect the GBP?Like any widely traded currency there are several factors that affect the GBP. As is often the case, monetary policy is extremely impactful. Any announcements or policy decisions by the BoE are always closely watched given its potential to move the GBP.Additionally, consumer prices (CPI) in the UK as well as levels of inflation carry a lot of weight and routinely affect the value of the GBP in forex markets.Other metrics of note include measures of gross domestic product (GDP) in the UK or growth, consumer sentiment, or confidence.Most recently, the drama surrounding Brexit as well as the potential fallout of negotiations have added another layer of uncertainty to the GBP.The UK at the time of writing is headed for a historic schism with Europe, though a deal has not yet been agreed upon with both sides unable to come to an agreement.With a smooth resolution nowhere in sight, any developments or an eventual finality to Brexit will be extraordinarily important to both the short- and long-term value of the GBP.
Read this Term, CHF, CAD, NZD, but have since given up gains. The EURUSD moved lower as well (higher USD) but remained off the low for the day and started to move back higher.

That move back to the upside extended the trading range for the day to a new high of 1.13677. So far the aforementioned swing area has led to sellers leaning. A move above would still have other targets like the falling 100 hour MA at 1.13747, the 200 hour MA at 1.1402 and the 100 day MA at 1.14055 to get to, and through, but each successive break would increase the bullish bias.

On the other end of the spectrum, is that those upside target levels could also attract sellers who may be the dip buyers taking profit, or outright sellers who stick a toe in the water vs the risk defining levels, with the hope of more sabre rattling from Putin/Biden/Europe/NATO. All it takes is one headline, and the buyers could all turn to sellers again.