EUR/USD started rather calmly this week and moving bearish to 1.1314. According to Elliot Wave theory, EUR/USD is expected to hit key-support, rebounding on bullish trend at the peak of wave 4

Dear Traders,

EUR/USD started rather calmly this week and moving bearish to 1.1314. According to Elliot Wave theory, EUR/USD is expected to hit key-support, rebounding on bullish trend at the peak of wave 4 (chart can be viewed below)

Do note that Euro Zone inflation indicators (CPI) are under investor's radar this week.

Meanwhile, Greenback's pressure on Euro started to add up due to better-than-expected economic report last week and speculations surrounding FED's interest rate hike. Retail sales report on last April scored one-year highs, showed how purchasing power of American people on automobiles and other products rose again, suggesting USA rebound against slower economic growth report in first quarter.

On side note, Goldman Sachs took prediction of Euro exchange value rate at 1.05 for the next twelve months, 95 cents more compared to previous prediction, recorded as analysis by Robin Brooks in charge of said bank chief currency strategist last Friday. One day earlier, Deutsche Bank, second largest currency dealing bank according to Euromoney Magazine, spotlighted prediction of Euro exchange rate to USD 1.05 from USD 1 (Gulf News).

 

Technical Analysis

Consider looking at this graphic to aid your trading decision this day, this graphic is in h4 resolution with Elliot Wave theory to read the upcoming pattern.

EUR/USD