Forecast for EUR/USD for December 21, 2018

EUR/USD

There was a slight separation in the financial markets yesterday due to the uncertainty of the average players left without the support of large investors. As we noted earlier, major players left the stock market in the autumn and shifted to government bonds, which, in part, provided support to the dollar. In fact, we are witnessing the recovery of stock markets, the bubble blowing at the expense of a massive investor. Stock indices lost about 2% yesterday. We hope that this decline will stop soon. Technically, the S&P 500 index can still fall by 3.5%, to the level of 2392, where it will meet strong support. The first sign of recovery may be the debt market – the yield on government bonds slightly grows the second day.

On the daily scale chart, the Marlin oscillator signal line still went up from the wedge, but the price stopped at the Krusenstern line. If the data on consumer spending/income in the US, which are expected to be good, is good enough, the price will come out of this line (~1.1470), then the euro is expected in the range of 1.1526-1.1575. The target range is determined by strong historical levels from June 2018.

On the four-hour chart, the upward trend has no signs of a reversal. The absence of reversal signs suggests that if the price does not go up as expected, it will stay in a sideways trend.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Forecast for EUR/USD for December 21, 2018