{"id":127092,"date":"2018-05-22T07:55:01","date_gmt":"2018-05-22T11:55:01","guid":{"rendered":"http:\/\/countingpips.com\/?p=127092"},"modified":"2018-06-01T15:39:44","modified_gmt":"2018-06-01T15:39:44","slug":"eurusd-bulls-trying-to-develop-the-upwards-correction","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2018\/05\/eurusd-bulls-trying-to-develop-the-upwards-correction\/","title":{"rendered":"EURUSD: bulls trying to develop the upwards correction"},"content":{"rendered":"<div id=\"inves-2629543928\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">May 22, 2018<\/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><strong>Previous:<\/strong><\/p>\n<p>On Monday the 21<sup>st<\/sup>\u00a0of May, trading on the euro closed up. At the beginning of the European session, the single currency dropped to 1.1717 before rebounding. The euro initially rose against the dollar to 1.1779 and climbed further to 1.1796 during the US session.<\/p>\n<p>The euro fluctuated on the back of political uncertainty in Italy. The League and Five Star Movement have put forward a candidate for the post of Prime Minister of Italy, who now awaits confirmation from the president.<\/p>\n<p>In the US session, the euro\u2019s rise was facilitated by an easing of tensions between the US and China as well as a decline in US10Y bond yields. I\u2019d like to point out that there is again a negative correlation between the EURUSD pair and US10Y bond yields.<\/p>\n<p>US Secretary of the Treasury Steven Mnuchin said yesterday that the trade war between the US and China has been\u00a0<a href=\"https:\/\/www.huffingtonpost.com\/entry\/china-tariffs-us-hold_us_5b018af2e4b0a046186d214f\">put on hold<\/a>\u00a0for the time being.<\/p>\n<p><strong>Day\u2019s news (GMT+3):<\/strong><\/p><div id=\"inves-3243674897\" 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<ul class=\"list list_type_disc\">\n<li>11:30 UK: public sector net borrowing (Apr).<\/li>\n<li>12:00 UK: inflation report hearings.<\/li>\n<li>13:00 UK: CBI industrial trends survey \u2013 orders (May).<\/li>\n<li>15:30 Canada: wholesale sales (Mar).<\/li>\n<li>17:00 USA: Richmond Fed manufacturing index (May).<\/li>\n<\/ul>\n<p><img decoding=\"async\" src=\"https:\/\/alpari.com\/data\/media\/cms\/images\/359_5b03c4add215e.png\" alt=\"\" \/><\/p>\n<p align=\"center\">Fig 1. EURUSD hourly chart. Source: TradingView<\/p>\n<p>Sellers moved with the trend to bring the price to 1.1717 on the back of a rising dollar and political uncertainty in Italy. My fears of a rebound upon reaching the 1.1740 support were not unfounded.<\/p>\n<p>Once again, this rebound was brought about by developments in the news. Since our pair was ready for this, positive news from Italy gave rise to a sharp surge in quotes.<\/p>\n<p>This growth petered out around the upper boundary of the A-A channel and the 67<sup>th<\/sup>\u00a0degree. After a rebound on the daily timeframe, a pin bar or hammer was formed. Since the US and China have pressed the pause button on their trade dispute, it\u2019s worth considering the continuation of the upwards correction past 1.18.<\/p>\n<p>Also, considering that the greenback is showing mixed dynamics, and that all the euro crosses are trading down, today I\u2019m forecasting a drop along with the trend to 1.1750 followed by an upwards reversal. However, I wouldn\u2019t advise rushing to buy against the trend at 45 degrees. The trend hasn\u2019t been broken and the bears could yet cancel the pin bar model. In keeping with the trend, the price could return to yesterday\u2019s low from which another rebound is likely.<\/p>\n<div class=\"s_invisible_yes\">Source: &#8220;<a href=\"https:\/\/alpari.com\/en\/hidden_copyright\/\" rel=\"nofollow\">EURUSD: bulls trying to develop the upwards correction<\/a>&#8220;<\/div>\n<\/div>\n<div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By Gabriel Ojimadu, Alpari Previous: On Monday the 21st\u00a0of May, trading on the euro closed up. At the beginning of the European session, the single currency dropped to 1.1717 before rebounding. The euro initially rose against the dollar to 1.1779 and climbed further to 1.1796 during the US session. The euro fluctuated on the back [&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-127092","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/127092","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=127092"}],"version-history":[{"count":1,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/127092\/revisions"}],"predecessor-version":[{"id":127093,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/127092\/revisions\/127093"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=127092"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=127092"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=127092"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}