{"id":116799,"date":"2017-11-20T07:27:43","date_gmt":"2017-11-20T12:27:43","guid":{"rendered":"http:\/\/countingpips.com\/?p=116799"},"modified":"2018-06-01T15:49:10","modified_gmt":"2018-06-01T15:49:10","slug":"eurusd-merkel-has-failed-to-form-a-coalition-government","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2017\/11\/eurusd-merkel-has-failed-to-form-a-coalition-government\/","title":{"rendered":"EURUSD: Merkel has failed to form a coalition government"},"content":{"rendered":"<div id=\"inves-603556581\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">November 20, 2017<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By Gabriel Ojimadu, Alpari<\/strong><\/p>\n<div class=\"reviews-item__content\">\n<p>On Friday the 17<sup>th<\/sup>\u00a0of November, trading on the euro\/dollar pair closed slightly up. Despite continued pressure on the euro due to difficulties in Germany in forming a coalition government, the single currency was bolstered by a surge in demand following a retreat by traders towards safe haven assets amid new developments concerning North Korea. The euro was also helped by a decline in US bond yields, which brought the dollar down with it.<\/p>\n<p>North Korea has announced that it will refuse to have any kind of dialogue with the United States for as long as they maintain their hostile stance and for as long as they continue to carry out military training exercises with South Korea.<\/p>\n<p><strong>Day\u2019s news (GMT+3):<\/strong><\/p>\n<ul class=\"list list_type_disc\">\n<li>10:00 Germany: PPI (Oct).<\/li>\n<li>14:00 Germany: German Buba monthly report.<\/li>\n<li>15:15 Eurozone: ECB&#8217;s Lautenschl\u00e4ger Speech.<\/li>\n<li>17:00 Eurozone: ECB president Draghi\u2019s speech.<\/li>\n<li>21:00 USA: leading index (Oct).<\/li>\n<\/ul>\n<p align=\"center\"><img decoding=\"async\" src=\"https:\/\/alpari.com\/data\/media\/trunk\/images\/eur_201117_5a128949dd77a.png\" alt=\"\" \/><\/p>\n<p align=\"center\">Fig 1. EURUSD rate on the hourly. Source: TradingView<\/p>\n<p>Sellers didn\u2019t make it to the 45<sup>th<\/sup>\u00a0degree on Friday. A support level came into play at the 1.1775 mark which they were unable to break due to increased demand for safe havens. The price closed at 1.1795.<\/p>\n<p>On Monday the 20<sup>th<\/sup>\u00a0of November, trading on the euro opened with a sharp decline. The euro dropped to 1.1722 (-73 pips) after news that talks on creating a coalition government in Germany had broken down. Germany\u2019s Free Democratic Party (FDP) walked out of negotiations after failing to reach a compromise with Angela Merkel\u2019s Christian Democratic Union, its sister party the Christian Social Union, and the Green Party.<\/p><div id=\"inves-3825257564\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<p>At the time of writing, the euro is trading at 1.1735. The price bounced off the lower boundary of the A-A channel and has been trading in a sideways trend for the last few hours. There won\u2019t be many news releases relevant to the euro today, so the deadlock over forming a coalition government will be the main focus throughout the day.<\/p>\n<p>My forecast expects a breakout of the TR trend line, the 90<sup>th<\/sup>\u00a0degree, and the A-A channel, followed by a price drop to 1.1686.<\/p>\n<div class=\"s_invisible_yes\">Source: &#8220;<a href=\"https:\/\/alpari.com\/en\/hidden_copyright\/\" rel=\"nofollow\">EURUSD: Merkel has failed to form a coalition government<\/a>&#8220;<\/div>\n<\/div>\n<div><\/div>\n<div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By Gabriel Ojimadu, Alpari On Friday the 17th\u00a0of November, trading on the euro\/dollar pair closed slightly up. Despite continued pressure on the euro due to difficulties in Germany in forming a coalition government, the single currency was bolstered by a surge in demand following a retreat by traders towards safe haven assets amid new developments [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-116799","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/116799","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=116799"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/116799\/revisions"}],"predecessor-version":[{"id":116800,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/116799\/revisions\/116800"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=116799"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=116799"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=116799"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}