(DAILY NOTION) EUR/USD Possible Test on the Support at 1.2130, Next Mover: U.S. Retail Sales Data

Illustration photo of EUR/USD daily chart from Tradingview

EUR/USD is currently trading around 1.2120, attempt to test the nearest support level at 1.2130.

As for today's market news, Raphael Bostic and Richard Kaplan said that the Fed would possibly start hiking rates earlier than expected. Also, Joe Biden unveiled a $1.9 trillion stimulus package that was relatively smaller than what other analysts were expecting.

The EUR/USD today react to the U.S. retail sales numbers that will come out in the afternoon session. Economists expect the data to show that the overall sales dropped in December due to the lockdowns. The pair will also react to the U.S. PPI, capacity utilization, and industrial production data.

It is possible to gain additional momentum in the short-term in case the right catalysts emerge as the RSI indicator currently at the moderate territory. As reported by Vladimir Zernov, He pointed out that EUR/USD will move towards the next support level at 1.2120 if manage to test and declines below the support level at 1.2130. A successful test at the level of 1.2120 will move EUR/USD to the next support level at 1.2080.

Besides that, on the upside, he pointed out that the next resistance level for EUR/USD will be located at 1.2155. If successfully test the resistance level at 1.2155, EUR/USD will move towards the resistance level at 1.1.2175. A successful test of the resistance at 1.2175 will move the pair to test on the next resistance level which is located at 1.2195.

FOLLOWME EUR/USD Overall Sentiment (As of 04:35 p.m., Jan 15, 2021),

Short - 57.83%

Long - 42.17%

For information please refer to Vladimir Zernov.