ALB Limited 29.06.2020
Chart of the Day EUR/USD
EURUSD is currently trading within a range. As the price is currently around 1.1250, the expectation would be to see the price test at the 1.13 level. From a fundamental perspective, as the number of coronavirus cases continues to rise in the U.S. this will hurt the recovery process and easing of the lockdown thereby weighing on the US Dollar and investor confidence. Secondly, as German chancellor Angela Merkel and French President Emmanuel Macron are scheduled to meet today to discuss a strategy for the recovery of the region, this will be perceived as bullish for the Euro in the short term. From a technical perspective, the price is above the key moving averages across multiple time frames. On the daily time frame, the price has created a bull flag with the expectation of seeing it move higher to retest the upper section of the flag around the 1.13 level before potentially breaking out and we could see the EURUSD move to 1.18650 over the long term. However, to achieve our profit expectation, the price must remain above 1.12.
