Fundamental analysis

Technical Analysis of EUR/USD for November 2, 2022

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Technical Market Outlook:

The EUR/USD pair awaits the FED interest rate decision scheduled for release at 8:00 PM tonight. Not much volatility is being seen yet, but the market might get more violate during the news release. The alternate impulsive scenario has been invalidates, so the market is positioning itself more to the downside. In the longer term, the key technical resistance level is located at 1.0389 (swing high from August 11th), so the bulls still have a long road to take before the down trend reversal is confirmed. The mid and long-term outlook for the EUR remains bearish (ABC corrective cycle in the down trend) until the swing high seen at 1.0389 is clearly broken.


Weekly Pivot Points:

WR3 – 1.00027

WR2 – 0.99756

WR1 – 0.99586

Weekly Pivot – 0.99485

WS1 – 0.99315

WS2 – 0.99214

WS3 – 0.98943

Trading Outlook:

The EUR had made a new multi-decade low at the level of 0.9538, so as long as the USD is being bought all across the board, the down trend will continue towards the new lows. In the mid-term, the key technical resistance level is located at 1.0389 and only if this level is clearly violated, the down trend might be considered terminated. Please notice, there is plenty of room to the downside for the EUR to go, all of the potential technical support level are very old and might not be much reliable anymore.

The material has been provided by InstaForex Company –