EUR/USD Outlook for 17 June

Relevance up to 08:00 2021-06-18 UTC--5

EUR/USD has extended its falls below 1.1950, trading at the lowest since mid-April. The dollar has resumed its gains driven by the hawkish Fed meeting on Wednesday, where the central bank signaled tapering bond buying and brought forward the first rate hike. Jobless claims missed estimates of 412K.

On June 16, the US Federal Reserve published the Federal Open Market Committee's Statement, Economic Outlook and Federal Funds Rate. During the forty minutes following the announcement, the EUR/USD currency exchange rate dropped 100 base points.

On Thursday, the decline of EUR/USD stopped at the support of the weekly S3 simple pivot point at 1.1937.

In the case of the pair extending the decline, EUR/USD could look for support at the round levels like the 1.1900 and the 1.1850.

On the other hand, a potential recovery would face resistance near 1.2000. Afterwards, the weekly S2 simple pivot point could provide resistance at 1.2015.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

Jan Novotny,
Analytical expert
InstaForex Group © 2007-2021

Benefit from analysts’ recommendations right now

Top up trading account

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.

Read More