EURUSD InsightHello, subscribers!
Thank you all for tuning in. Please feel free to share your personal opinions in the comments. Don’t forget to like and subscribe!
Key Points:
- The ISM December U.S. Manufacturing PMI rose by 0.9 points from the previous month to 49.3, exceeding the market expectation of 48.4.
- The People’s Bank of China announced in its Q4 monetary policy committee discussions that it will reduce the reserve requirement ratio and interest rates at an appropriate time. It also emphasized strengthening monetary policy adjustments to enhance foresight, purpose, and effectiveness.
- European natural gas futures surged nearly 4% last week, continuing their sharp rise, drawing attention to the Eurozone CPI.
Major Economic Events This Week:
+ January 6: Germany's December Consumer Price Index, U.S. December Services PMI
+ January 7: Eurozone December Consumer Price Index, U.S. December ISM Non-Manufacturing PMI, U.S. November JOLTS report
+ January 8: U.S. December ADP Nonfarm Employment Change, FOMC Meeting Minutes
+ January 10: U.S. December Nonfarm Payrolls, Unemployment Rate
EUR/USD Chart Analysis:
After breaking through the 1.03400 support line, which was tested twice, EUR/USD extended its decline to the 1.02000 level. While it is showing signs of recovery, thick resistance levels above suggest that sustaining an upward trend will be challenging.
The potential rebound highs are expected at two levels: the first near the 1.03400 line and the second at the 1.04500 line. Following a rejection at these levels, a decline toward the 1.01000 line is anticipated.
If an unexpectedly strong upward trend occurs, we will quickly revise our strategy.
