Solid News

Lack of Prerequisites for the Strengthening of EURUSD

1/19/2023 12:20 PM

Against the decline in inflation in the euro area, the EUR/USD pair maintains a neutral trend, trading around 1.0800.

According to yesterday's report, the EU consumer price index in December lost 0.4%, which exceeded the forecast value of –0.3% and weakened the annual rate to 9.2% from 10.1% earlier. Positive dynamics are observed for the third month in a row, confirming the effectiveness of the European Central Bank (ECB) measures. Core inflation, which excludes fuel and food prices, rose by 0.6% MoM and from 5.0% to 5.2% YoY, a worrisome signal reflecting a slowdown in economic growth.

The US dollar is trading steadily around 102.000 in the USD Index. Investor's reaction to yesterday's retail sales report was restrained, as the market was already ready for negative dynamics. Thus, the indicator for December lost 1.1% after falling by 1.0% in November, against which the producer price index corrected by –0.5% after rising by 0.2% a month earlier. It led to a slowdown in annual growth to 6.2% from 7.3% earlier and was the most dynamic monthly decline since August last year.


On the daily chart, the trading instrument is correcting towards the resistance line of the ascending corridor.

Technical indicators hold a global buy signal: fast EMAs on the Alligator indicator are above the signal line, and the AO oscillator histogram forms upward bars in the buying zone.

Resistance levels: 1.0870, 1.1070. | Support levels: 1.0710, 1.0510.

Find Us
Registered Address : Bonovo Road – Fomboni Island of Mohéli – Comoros Union
Sofia, PO Box 1407,14 Flip Kutev Str. Floor 2, Industrial area Hladilnika, Bulgaria
Call Us
+35 924 928 392


Disclaimer 1: Solid ECN Securities LLC and it affiliates does not accept clients from Turkey, United States, and Europe.
Disclaimer 2: The information provided on this site is not intended for residents of any country or jurisdiction where its distribution or use would violate local laws or regulations.
Risk Warnings
Solid ECN Securities LLC offers trading on Foreign Exchange (‘Forex’ or ‘FX’) and Contracts for Difference (‘CFDs’), which are complex financial products that are traded on margin. They carry a high level of risk since leverage can work both to your advantage and disadvantage. As a result, these products may not be suitable for all investors, as loss of all invested capital may occur. You should not risk more than you are prepared to lose. Before deciding to trade, you need to ensure that you understand the risks involved and consider your investment objectives and level of experience. Seek independent advice, if necessary.
Solid ECN Securities LLC does not issue advice, recommendations or opinions in relation to acquiring, holding or disposing of a CFD. Solid ECN Securities LLC is not a financial advisor and all services are provided on an execution-only basis. This communication is not an offer or solicitation to enter into a transaction and shall not be construed as such.
This website is not directed at any jurisdiction and is not intended for any use that would be contrary to local law or regulation.
By using solidecn.com you agree to use our cookies to enhance your experience.
Solid ECN Securities LLC is authorized and regulated by the Comoros Union with reference number HY00623411.
Copyright All Right Reserved 2023 SolidECN.com