Shift in the momentum and Fibonacci support
In the 30-minute timeframe, we observed a strong rally in EUR/USD following yesterday’s CPI numbers, pushing the price towards 1.0900. During the Asian session, the market traded within a tight range around the Fibonacci retracement level of 61.8% at 1.0860, acting as intraday support. We noted a rejection at this support level, indicating potential momentum for an upside continuation towards projected Fibonacci expansion levels.
Our intraday upside objectives are set at 1.0910 and 1.0945. On the daily timeframe, there was a breakout from a multi-day consolidation, suggesting a likely continuation of the rally. The oscillators on the daily timeframe are showing bullish conditions, aligning well with the recent price action.
Traders should closely monitor price action around these Fibonacci levels and the behavior of the Stochastic Oscillator. Significant divergence or convergence at these points could provide early signals for potential reversals or continuations in the trend. Additionally, staying updated with macroeconomic events or market news that might impact sentiment is crucial for making informed trading decisions.
All ideas on FXC and FXC TV are created and recommended with the intentions of help and education, but not guarantee the future success. Please be aware of your account risk management and leverage trading knowledge. For more information, ask us on chat or with your FXC account manager.
Recommended Content
Editors’ Picks
EUR/USD extends recovery beyond 1.0400 amid Wall Street's turnaround
EUR/USD extends its recovery beyond 1.0400, helped by the better performance of Wall Street and softer-than-anticipated United States PCE inflation. Profit-taking ahead of the winter holidays also takes its toll.
GBP/USD nears 1.2600 on renewed USD weakness
GBP/USD extends its rebound from multi-month lows and approaches 1.2600. The US Dollar stays on the back foot after softer-than-expected PCE inflation data, helping the pair edge higher. Nevertheless, GBP/USD remains on track to end the week in negative territory.
Gold rises above $2,620 as US yields edge lower
Gold extends its daily rebound and trades above $2,620 on Friday. The benchmark 10-year US Treasury bond yield declines toward 4.5% following the PCE inflation data for November, helping XAU/USD stretch higher in the American session.
Bitcoin crashes to $96,000, altcoins bleed: Top trades for sidelined buyers
Bitcoin (BTC) slipped under the $100,000 milestone and touched the $96,000 level briefly on Friday, a sharp decline that has also hit hard prices of other altcoins and particularly meme coins.
Bank of England stays on hold, but a dovish front is building
Bank of England rates were maintained at 4.75% today, in line with expectations. However, the 6-3 vote split sent a moderately dovish signal to markets, prompting some dovish repricing and a weaker pound. We remain more dovish than market pricing for 2025.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.