Technische Analyse

EUR/USD- Bounced from its Support zone- What now

The EUR/USD pair has bounced from its support zone on a 30 minute time frame as predicted. This support zone was given in our analysis on 29^th July. The price also pierced the Bollinger band at this level and piercing of the Bollinger band does have a significant important specially when this is taking place at an important level of support or resistance.  The pair is also trading above the 50 day (shown in green)  but below the 100 day (shown in yellow) moving averages which confirms that there the bulls are the control.

EUR/USD- German Unemployment pushed the Euro lower but the upward move could on the cards

Fundamental Analysis – Unemployment Rate increased and Angela Merkel’s challenges soared

On the European front, Angela Merkel’s electioneering campaign remains in full swing as the country is approaching to the full employment level. German unemployment numbers released today increased unexpectedly by 7K, while the forecast was a decrease by 5K which has pushed the euro lower. This has certainly created more challenges for Angela Merkel who is trying to convince Germany that she is the best person to run the country. Having said that, it is a fact that there is no recession in the country and thanks to Angela Merkel and her policies which has pulled the country out of a recession on the path of a stronger growth because, let’s not forget that Germany certainly has a spill over effect for rest of the Europe.