WASHINGTON (Reuters) - The U.S. Federal Reserve on Wednesday brought its three-year drive to tighten monetary policy to an abrupt end, abandoning projections for any interest rate hikes this year amid signs of an economic slowdown, and saying it would halt the steady decline of its balance sheet in September.
But What does that mean for the EURUSD?
We have to admit that the US economy are not getting great, and the fact that the "so call plan" initiated by Helen it wouldn't last thanks to Mr. Trump, but this is not the topic; Lets take a closer look at the view of a trader.
Eur/Usd is showing rejection from the area of the .618 FIbo, drawn since the minimum of 2,000 and the maximun of 2008. This calculation shows key levels where the money awaits to "enter" to the market and even at the main trend looks like bullish zone, we have to be clear that we still are in a #BEARZONE
In a Weekly time frame we can see a downtrend, but... looks like its in the last "Phase", the formation that we can see for now seems to claim a bull rally; If the price continues with this formation, we can expect for the reach of the prices of 1.2039 ib the long term but first we need to achive one big resistance.
Daily LOOKS GOOD!!!, the clean break of the last maximum brings hopes for a bull run in the short and mid term, but we must be careful about that "normally" when the price jumps to high and at once, normally the price trend to "retrieve" its normal levels.
In the short term the price its showing a important resistance between 1.1423 and 1.1445. If the prices will continue to grow for new Hight prices it must close hardly again above the 1.4450 lvl. If the prices does not achieve this we can expect a retrievement close to the prices of 1.1386, 1.1352 and 1.1325.
So, what do you think ? What whould you do?
Please tell me your opinion if you like my post please let me know at the comments.
Thank you!!
Tradeandhold
