EURUSD: weekly analisys

Il simbolo dell'euro di fronte al quartier generale della Bce a Francoforte
Il simbolo dell'euro di fronte al quartier generale della Bce a Francoforte Reuters

The EURUSD cross has stopped (temporarily) its bearish trend after the monetary policy decisions of the ECB.

EURUSD, weekly 4th December EURUSD chart on the weekly timeframe updated to 4th December close  IBTimes Italia / XTB

However, the move, as you can see from the weekly chart, doesn't compromise the bearish trend in the medium-long term. The euro-dollar remains well below the EMA 50, while the same indicator have been tested on the daily timeframe.

EURUSD, daily 4th December EURUSD chart on the daily timeframe updated to 4th December close  IBTimes Italia / XTB

If this resistance would be broken then we would likely see further increases. Instead, on the 4H timeframe we can see that the euro-dollar pierced this resistance. The currency should remain below 1,10 in a week that can be considered transitory before the Fed's decision on the (US) interest rates.

NOTE: The analyzes are based on chart pattern models and on breaks of relative high or low present on different timeframes. For entry points and targets we would take into account break-ups, pivot points and EMA 50. IBTimes Italia declines any responsability from losses generated by your trades.