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EUR/USD Forecast: Pressuring Monthly Highs And Poised To Extend Its Advance

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EUR/USD Forecast: Pressuring Monthly Highs And Poised To Extend Its Advance

EUR/USD Current Price: 1.1917

  • Mixed US data put the greenback under pressure ahead of a long weekend.
  • Optimism decreased with equities ending the day mixed.
  • EUR/USD pressuring monthly highs and poised to extend its advance.

The EUR/USD pair advanced on Wednesday, reaching a fresh 2-month high of 1.1929 during the European session, to later refresh it in the US session. Optimism prevailed throughout the first half of the day but eased ahead of the  American opening on the back of Brexit concerns. The greenback remained under pressure after the release of a batch of mixed US data, as the country will be off for the long Thanksgiving holiday.

Durable Goods Orders were up 1.3% in October, beating expectations, while the core reading printed at 0.7% against the 0.5% forecast. Q3 economic growth was confirmed at 33.1%, while Initial Jobless Claims for the week ended November 20 came in worse than expected, up to 778K. Finally, the Michigan Consumer Confidence survey was downwardly revised to 76.9 in November.  The US calendar will remain empty for the rest of the week. The EU will publish money data this Thursday, while the ECB will release the Minutes of its latest meeting.

EUR/USD Short-Term Technical Outlook

The EUR/USD pair trades around 1.1914, with the risk skewed to the upside, despite the lack of bullish momentum. In the 4-hour chart, the pair is trading above a bullish 20 SMA, which advances beyond the longer ones. Technical indicators advance just modestly within positive levels. Bulls are in control as long as the price holds above 1.1880, the US session low, with scope to test the year´s high at 1.2011.

Support levels: 1.1880 1.1840 1.1790

Resistance levels: 1.1960 1.2010 1.2050

View Live Chart for the EUR/USD

Image sourced from Pixabay

 

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