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EUR/USD Too Exhausted To Stay Higher

Price is trading in the red rigth now and could resume the yesterday’s bearish candle. Technically is expected to decrease a little on the short term after the yesterday’s spike. EUR/USD rallied on Tuesday, but failed to stay near the 1.2070 high and now seems heavy and poised to correct after the bullish momentum.

The USDX is trading in the red right now, but is less likely to reach the 91.62 yesterday’s low. The behavior could change on the USDX, a minor accumulation will signal a rebound. USD needs a helping hand from the United States economy, only some positive data will force it to turn to the upside again.

The US ADP Non-Farm Employment Change is expected to increase from 178K to 185K, while the Prelim GDP could increase by 2.7%, more versus the 2.6% in the previous month. The FOMC Member Powell’s speech should bring some action as well. I want to remind you that another disappointment will demolish the USD.

Price has found strong resistance right below the upper median line (uml) of the minor ascending pitchfork, failing to touch this dynamic obstacle. Has show exhaustion signs because has closed the day also much below the 50%Fibonacci line. Should come down to retest the median line (ml) of the minor ascending pitchfork. A breakdown below it will attract more sellers.

MultiBank Exchange Group
MultiBank Exchange Grouphttp://www.mexgroup.com
Multibank Exchange Group (MEX Group) is a multinational financial derivatives dealer. Established in California in 2005, MEX has offices in several countries around the world, including the US, the UK, Australia and China. Mex Group is regulated by the Australian Securities and Investment Commission (ASIC) in Australia, the Ras al Khaimah Free Trade Zone (RAK) in the United Arab Emirates and the Financial Services Commission (FSC) in the British Virgin Islands.

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