EUR/USD Remains Near the Lows

uk.investing.com/analysis/eurusd-remains-near-the-lows-200518879

By Andey Goilov | May 16, 2022 12:21

This article has already been saved in your Saved Items

Early in another week of May, EUR/USD remains weak; the asset is consolidating around 1.0400, which is very close to the 2-year lows at 1.0348 reached last Friday.

Market players are doing their best to escape any risks relating to geopolitical tensions and the security of the energy supply. Because of the geopolitical escalation, gas transfer parameters to the European Union dropped by one-third. It’s not too critical as the season of the gas withdrawal is almost over – there is no hurry for the EU countries to compress it into underground storage. However, if geopolitical tensions continue, gas deliveries to Europe may drop. This will eventually slow down the Euro Area GDP. It’s very bad for the Euro.

One more factor that puts pressure on the European currency is that the ECB is far behind the US Fed when it comes to monetary policy tightening. It’s no secret to anybody – this difference is against the Euro.

In the H4 chart, after breaking 1.0700 and reaching the short-term target at 1.0472, EUR/USD completed the correction towards 1.0616; right now, it is forming another descending wave with the target at 1.0220. Later, the market may start a new correctional structure to reach 1.0700. From the technical point of view, this scenario is confirmed by MACD Oscillator: its signal line is moving below 0 and may continue falling to update the lows.

EUR/USD forecast

As we can see in the H1 chart, after completing the descending wave at 1.0430 and then forming a new consolidation range around this level, EUR/USD has broken it to the downside; right now, it is still falling with the short-term target at 1.0266. Later, the market may correct to test 1.0400 from below and then resume trading downwards to reach 1.0220. From the technical point of view, this idea is confirmed by the Stochastic Oscillator: after reaching 50 and forming a consolidation range around it, its signal line has broken the range to the downside and may later continue falling towards 20.

EUR/USD forecast

Disclaimer
Any forecasts contained herein are based on the author's particular opinion. This analysis may not be treated as trading advice. RoboForex bears no responsibility for trading results based on trading recommendations and reviews contained herein.

Chart Of The Day: How To Trade The U.S. Dollar In Today's... By Pinchas Cohen/Investing.com - Jun 27, 2022

The dollar extended a decline from a 20-year high, on lower than anticipated US economic data releases. The greenback slid on Friday after US consumer morale hit an all-time low,...

EUR/USD Is Standing Still By Andey Goilov - Jun 27, 2022

The major currency pair is rather neutral early in the week – the asset is trading at 1.0567.EUR/USD is barely moving – all comments left by the US Fed Chairman Jerome Powell last...

Bleak Economic Outlook By Marios Krausse - Jun 13, 2022

Welcome to a new trading and central bank rate-hike week. After an unexpectedly higher U.S. inflation reading last Friday, chances for a 75bp Federal Reserve rate hike at the...

Add a Comment

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:

Enrich the conversation
Stay focused and on track. Only post material that’s relevant to the topic being discussed.
Be respectful. Even negative opinions can be framed positively and diplomatically.
Use standard writing style. Include punctuation and upper and lower cases.
NOTE: Spam and/or promotional messages and links within a comment will be removed
Avoid profanity, slander or personal attacks directed at an author or another user.
Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

I have read and understood Investing.com UK's comment guidelines and agree to the terms described.

I Agree

Write your thoughts here

Are you sure you want to delete this chart?

Delete Cancel

Post

Post also to:

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.

<div id="comment">
				<div class="comment js-comment" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
    <div class="mainComment js-content">
       <div class="commentInnerWrapper">
        <a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody">
                					<span class="commentUsername">
                    	<a href="{userLink}" class="js-user-link js-user-name">{username}</a>
					</span>
                                <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
                <div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

<div class="js-option addRow follow">
            <div class="js-follow-post-button">
                <span class="alertfollowIcon middle"></span>Follow this post            </div>
            <div class="js-unfollow-post-button displayNoneImp">
                <span class="alertUnfollowIcon middle"></span>Unfollow this post            </div>
        </div>

<div class="addRow js-option save">
		<a href="javascript:void(0);" class="js-save-item-btn" data-item-type="comments" data-item-id="{commentID}">
			<i class="saveItemBigIcon middle"></i>
			Save		</a>
	</div>
	<div class="addRow saveItemsConfirmation noHover displayNone js-saveItemResult">
		
<div class="content js-saveItemSuccess displayNone">
	<span class="mediumGreenSuccessIcon"></span><span>Saved. See <a href="/members-admin/saved-items" target="_blank">Saved Items</a>.</span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
<div class="content js-saveItemAlreadySaved saveItemAlreadySaved displayNoneImp">
	<span>This comment has already been saved in your <a href="/members-admin/saved-items" target="_blank">Saved Items</a></span>
	<a href="javascript:void(0);" class="bugCloseIcon js-close"></a>
</div>
	</div>

<div class="addRow shareButtons js-sharePopup displayNone">
			<div class="js-shareComment"><span class="js-shareCommentSpan"></span></div>
		</div>
	</div>
</div>
                 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div>             </div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="commentBigChart js-comment-chart" onclick="openViewChartPopup('{commentID}')">
					<img src="https://d51-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

<div class="reportComment js-flag float_lang_base_2">
                            <a href="javascript:void(0);" id="commentFlag_{commentID}">
                                <span class="reportCommentIcon middle"></span><span class="inlineblock middle">Report</span>
                            </a>
                        </div>
                    				</div>
					</div>
	   </div>
	</div>
	</div>			</div>
			<div id="reply">
				
    <div class="commentReply js-comment js-comment-reply" data-comment-id="{commentID}" id="comment-{commentID}" data-user-id="">
		<div class="commentInnerWrapper"><a href="{userLink}" class="js-user-link"><img src="{userImage}" width="33" height="33" alt="{usernameAlt}" class="img" onerror="this.src='https://i-invdn-com.investing.com/defaultUserMaleTmp.png';"></a><div class="commentBody js-content">
            				<span class="commentUsername">
					<a href="{userLink}" class="commentUsername js-user-link js-user-name" onMouseOver="">{username}</a>
				</span>
                        <span class="js-date" comment-date="{dateFormat}" comment-date-formatted="{dateFormatted}" title="{dateTitle}">Just Now</span>
			 <div class="commentAuthor js-comment-by-author"><span class="commentAuthorIcon"></span>Author's response</div> 			<div class="commentDropDown js-commentDropDownWrapper " data-user-id="" data-cid="{commentID}">
	<a href="javascript:void(0);" class="threeDotsIconSmall js-thinDropdownArrow"></a>
	<div class="tooltipPopup commentActionsPop noHeader js-commentDropDownOptions displayNone">
		<div class="addRow js-option share">
			<a href="javascript:void(0);" class="js-commentSharePopup" data-cid="{commentID}" data-curl="{commentLink}"><span class="smallShareIcon middle"></span>Share</a>
		</div>

</div>
		<div id="commentText-{commentID}" class="js-text-wrapper commentText withImage">
							<div id="commentBigChart{commentID}" class="replyBigChart displayNone js-comment-chart">
					<img src="https://d51-invdn-com.investing.com/comments_images/{commentImage}" alt="{commentAlt}">
					<i class="newMagnifyChartIcon"></i>
				</div>
				<span id="commentSmallChart{commentID}" class="commentSmallChart pointer js-comment-chart" onclick="openViewChartPopup('{commentID}')">
                    <img src="https://d51-invdn-com.investing.com/comments_images/{commentImageSmall}" width="116" height="52" alt="{commentAlt}">
                    <span class="chartMagnifyOverlay displayNone"></span>
                    <span class="searchGlassIcon chartMagnify displayNone"></span>
                </span>
						<span class="js-text">{commentContent}</span>
			<div class="clear"></div>
							<div class="commentButtons js-not-master-user">
					<a href="javascript:void(0)" class="reply js-reply-btn" data-real-parent-id="{commentID}" data-to-user-name="{username}" data-to-user-id="">Reply</a>
					<div class="inlineblock likeDislikeBox js-like-dislike-box" data-item-id="{commentID}">
	<input class="js-like-checkbox" type="checkbox" name="option" value="Yes" id="like_{commentID}">
	<label for="like_{commentID}" class="like" title="I agree"></label>
	<span class="numOfLikes js-like-count lighterGrayFont">0</span>
	<input class="js-dislike-checkbox" type="checkbox" name="option" value="No" id="dislike_{commentID}">
	<label for="dislike_{commentID}" class="dislike" title="I disagree"></label>
	<span class="numOfDislikes js-dislike-count lighterGrayFont">0</span>
</div>

Are you sure you want to delete this chart?

Delete Cancel

Post

Replace the attached chart with a new chart ?

Replace Cancel

1000

Comment Guidelines

Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.

Please wait a minute before you try to comment again.

I feel that this comment is:

Spam

Offensive

Thank You!

Your report has been sent to our moderators for review

Central Banks

Interest Rates

Next Meeting

BOE

1.25%

Aug 04, 2022

ECB

0.00%

Jul 21, 2022

FED

1.75%

Jul 27, 2022

SNB

-0.25%

Sep 22, 2022

RBA

0.85%

Jul 05, 2022

BOC

1.50%

Jul 13, 2022

RBNZ

2.00%

Jul 13, 2022

BOJ

-0.10%

Jul 21, 2022

CBR

9.50%

Jul 22, 2022

RBI

4.90%

Aug 04, 2022

PBOC

3.70%

BCB

13.25%

Aug 03, 2022

FTSE 100	7,237.15	+28.34	+0.39%
DAX	13,138.69	+20.56	+0.16%
Euro Stoxx 50	3,528.45	-4.72	-0.13%
US 30	31,426.5	-74.2	-0.24%
US 500	3,893.7	-18.0	-0.46%
Nikkei 225	26,871.27	+379.30	+1.43%
GBP Index	73.38	+0.03	+0.04%

Brent Oil	108.27	-0.83	-0.76%
Crude Oil WTI	106.35	-1.27	-1.18%
Gold	1,830.80	+0.50	+0.03%
Silver	21.308	+0.149	+0.70%
Copper	3.7510	+0.0065	+0.17%
London Cocoa	1,754.00	+4.00	+0.23%
London Wheat	257.75	-7.75	-2.92%

GBP/USD	1.2285	+0.0024	+0.19%
EUR/USD	1.0583	+0.0029	+0.27%
USD/JPY	135.09	-0.09	-0.06%
EUR/GBP	0.8614	+0.0009	+0.11%
USD/CAD	1.2911	+0.0019	+0.14%
GBP/JPY	165.93	+0.18	+0.11%
AUD/USD	0.6934	-0.0014	-0.21%

Lloyds Banking	43.16	-0.23	-0.54%
Vodafone Group PLC	126.96	+0.46	+0.36%
Barclays	157.90	-1.04	-0.65%
BT Group	183.20	-5.30	-2.81%
HSBC	538.40	+1.00	+0.19%
BHP Billiton Ltd	2,332.00	+56.50	+2.48%
Exxon Mobil	88.02	+1.12	+1.29%

EUR/USD Remains Near the Lows

Related Articles