EUR/USD, Dollar Has it's Day
By: Bradley C. Smith
A foul forecast is set for the Euro's side of the EUR/USD, while a favorable forecast is set to aid the Dollar's recent diminishing strength in this pair's ongoing power struggle. Bollinger Bands, Full Stochastics, StochRSI and RSI, all four say this Major is overbought. This day will likely end down. Two news items and four lagging indicators agree on it.
The EUR/USD being down from the week's open, is the work of large institutions that do not make their decisions lightly. The two news items below, institutional trades pointing this pair downward on a three hour chart and the technicals near their centerlines will allow the week's trend to further continue today.
5:00am est EUR
German ZEW Economic Sentiment Forecast 25.2 Previous 28.7
8:30am est USD
Trade Balance Forecast -39.3B Previous -40.3B