Can EURUSD Settle Above 1.1300-20?

Euro enjoyed a decent bull run this week against the US Dollar and climbed above 1.1200.

EURUSD is currently struggling to clear a major resistance area around 1.1300-20.

In the Euro Zone today, the German consumer price index released by the Statistiches Bundesamt Deutschland registered no change in August 2015, just as the market expected.

Spanish Consumer Price Index released by the National Institute of Statistics posted an increase of 0.2% just as the market expected in February 2015.

German CPI

Earlier today during the London session, the German consumer price index, which helps in calculating the price movements by the comparison between the retail prices of a representative shopping basket of goods and services was published by the Statistiches Bundesamt Deutschland. The market was expecting no change in the CPI in August 2015, compared to the preceding month. The outcome was in line with the forecast, and was similar to the last reading.

Considering the yearly change, then the German consumer price index increased by 0.2%, just as the market expected.

The report stated that the “low inflation rate of August 2015 was due mainly to the continued decrease in energy prices (–7.6% on August 2014). Compared with the last few months, the decrease of energy prices accelerated again”.

Overall, there was no encouragement for buyers, but the Euro remained in the bullish zone. Similarly, the Spanish Consumer Price Index was released by the National Institute of Statistics, which was also in line with the forecast.

Technical Analysis – EURUSD

The Euro was seen trading higher from the past couple of days, but struggled to clear an important resistance area of 1.1300-20. There were at least three attempts today to clear the mentioned area, but sellers managed to defend the upside successfully. It has increased the risk of a move down in the near term. On the downside, an initial support is around 1.1260, followed by 1.1220.

Vladimir Ribakov

Following 11+ years of trading experience, trading my own accounts as well as for hedge funds and brokerages, I have decided to fulfill my destiny and to personally mentor Forex and Commodities traders. When I released the “Broker Nightmare” (software that hides trades from brokers) 8 years ago, I found an overwhelming number of frustrated people who genuinely wanted to learn how to trade the Forex market, but instead found themselves scammed and misled. Over the years I have also release other trading systems based on my trading strategies, and met a lot of people on my worldwide Forex seminars. We’ve formed a close Forex community and we meet once or twice a year in various locations in Europe.