The EUR/USD pair remains in a consolidation phase as it continues to trade within a tight range. Despite the ongoing trade tensions between the United States and China, the euro has been able to hold its ground against the US dollar.
Looking at the technical analysis for EUR/USD, the pair has been trading between the support level at 1.1200 and the resistance level at 1.1400. The 100-day moving average is acting as a support level, providing further confirmation that the pair is in consolidation mode.
Key Support and Resistance Levels
The key support level for EUR/USD is at 1.1200. If the pair breaks below this level, it could signal a further decline towards 1.1100. On the upside, the key resistance level is at 1.1400. If the pair breaks above this level, it could lead to a rally towards 1.1500.
Potential Trading Opportunities
For traders, it is important to wait for a breakout above or below the consolidation range before taking any trading positions. A breakout above 1.1400 can be seen as a bullish signal, while a breakout below 1.1200 can be seen as a bearish signal.
Key Economic Events
This week, the main focus will be on the US Non-Farm Payrolls report, which is scheduled to be released on Friday. This report will provide insights into the strength of the US economy and could have a major impact on the direction of the EUR/USD pair.
Overall, the EUR/USD pair is likely to continue trading within its consolidation range until there is a clear breakout above or below the key levels. Traders should closely monitor the price action and be ready to take advantage of any opportunities that may arise.
