SaxoTV

Collins: A negative outlook for EURUSD

545 views
November 26, 2014 alan collins, alan collins 3c analysis, bearish, bearish bias, consumer confidence, consumer sentiment, consumer spending, ecb, eruo growth, euro, euro dollar, europe, european central bank, eurozone, eurusd, fx, fx crosses, fx forex, fx investing, fx market, fx markets, fx options, fx spot, fx strategy, fx trade, fx trade idea, fx traders, fx trades, fx trading, fx volatility, gdp, holiday, new home sales, october new home sales, saxo, saxo bank, saxo bank saxo tv, saxo bank trading, saxo bank trading floor, saxo bank tradingfloor.com, saxo tv, saxo tv alan collins, saxo tv saxo bank, saxo tv trades, saxo tv trading floor, saxo tv tradingfloor, saxo tv tradingfloor.com, thanksgiving, trade idea, trade thanksgiving, trade view, traders tale, traders tale alan collins, traders tale saxo tv, trading, trading fx, trading idea, trading strategy, trading thanksgiving, tradingfloor, tradingfloor saxo bank, tradingfloor saxo tv, tradingfloor.com, tradingfloor.com insights, tradingfloor.com saxo tv, tradingfloor.com trade ideas, us, us consumer sentiment, us data, us dollar, us dollar index, us economic data, us economic growth, us economy, us economy gdp, us economy improving, us gdp, us government, us jobs, us new home sales, us q3 gdp, usd, usd index, weak euro

With the underlying tone in EURUSD remaining negative, Alan Collins from 3c Analysis is looking to sell the currency pair. A sharp decline in EURUSD last Friday created a temporary buying opportunity, but Alan notes these rallies have been relatively weak. Levels failed to move above last Friday’s Marabuzo line or the key 13 day moving average, indicating a lack of confidence in the temporary rally.

 

A number of economic reports from the US are due out this week, despite the Thanksgiving holiday on Thursday. October new homes sales data and final consumer sentiment numbers for November are scheduled for release. A preliminary consumer sentiment report surprised investors with an unexpected drop to the lowest level in 13 months. Additionally, the Commerce Department revised US Q3 GDP to 3.9 percent from 3.5 percent on Tuesday. Trading this week is expected to remain light due to these conflicting economic reports and the upcoming holiday.  

 

Alan expects the euro to remain weak against the dollar and his downside targets for this trade are: EUR 1.2401, EUR 1.2358, and EUR 1.2289. Only a move above EUR 1.2570 would negate this trading scenario.

 

Join the conversation below to be a part of the social trading experience.

Disclaimer

Saxo Bank Group provides an execution-only service. All information provided on Tradingfloor.com is solely for general information. Tradingfloor.com does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. Saxo Bank Group will not be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available as part of the Tradingfloor.com or as a result of the use of the Tradingfloor.com.

Please read our notification on

Non-independent investment research disclaimer

Full disclaimer