Instaforex Analysis

[IFX Yvonne]

Forecast for EUR/USD on September 30, 2019

EUR/USD

On Friday, after the euro's attempt to overcome support at 1.0926, the price chose to return a little higher in order to try to do it with fresh energy in the new week. This morning a little strength was given by economic data on the Asia-Pacific; retail sales for August show growth of 2.0% y/y against the forecast of 0.7% y/y, business activity in the manufacturing sector of China (Manufacturing PMI) for September increased from 49.5 to 49.8. In the afternoon, employment indicators in the euro area will come out, forecasts are neutral, so investors are interested in how much the data deviate from expectations.



On a four-hour chart, the price is near the signal level of 1.0926, consolidating below it will launch the main decline scenario. We are waiting for the price in the target range of 1.0806/44, formed by the line of the price channel and the Fibonacci level of 161.8%. Strong economic indicators in the euro area and weak in the US (if the Chicago PMI is weaker than the forecast of 50.0) may pull up the euro to the MACD line, to around 1.1000.



*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

[IFX Yvonne]

Forecast for EUR/USD on October 1,2019

EUR/USD

The euro fell by 38 points on Monday. The readings of technical indicators have become even more bearish. On the daily chart, the Marlin oscillator penetrates deeper into the negative trend zone. The target range is the gap from the price channel line to the Fibonacci level of 161.8% - 1.0806/44. Consolidating the price below it opens the second target at 1.0710 - the low of January 2016.



On a four-hour chart, the signal line simultaneously develops in two conflicting patterns; a convergence reversal formation is formed, but within the framework of a simple rectangle. In this case, both signals lose power. In the evening, ISM Manufacturing PMI will be released in the September assessment - the forecast is 50.4 versus 49.1 in August, and an increase can also be shown for construction costs in August - the forecast is 0.5% against 0.1% earlier. We look forward to further weakening of the eur



*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.