The Euro has gone back and forth during the course of the trading session on Wednesday as we are hanging around the 50 day EMA. The 50 day EMA of course has been an area that has been important more than once, and as a result it will be paid close attention to. If we break down below the bottom of the candlestick for the trading session, then we could drop below the 1.18 level, but it is clear that a lot of people are paying close attention to the Federal Reserve and its lack of willingness to raise interest rates.
EUR/USD Video 09.09.21
The next question of course will be whether or not we can turn around a break above the top of the candlestick, because if we do then we will more than likely make another charge towards the 200 day EMA. The markets are going to take a very serious look at whether or not the ECB will do the same as the Fed, or if they will start to dial back bond purchases. Furthermore, there is the German election that looks like it is going to shake everything up, so that is something to keep in mind. When you look at this chart, it shows just how much confusion there is, but if we could somehow get to the upside, it is likely that this thing will take off. In general, I think that you can count on a lot of confusion, but eventually the market would have to make some type of decision.
For a look at all of today’s economic events, check out our economic calendar.
This article was originally posted on FX Empire
More From FXEMPIRE:
