EUR/USD back to 1.1100 as markets digest Trump’s victory

EUR/USD has somehow stabilized in the 1.1050-1.1100 area after soaring to 1.1299 and pulling back to 1.1028 in the wake of the Donald Trump unexpected victory in US presidential elections.

The implications of Trump’s victory are yet to be seen. A Trump victory is viewed as negative for financial markets as his policies are source of uncertainty for the US economy.

EUR/USD  initially dipped below 1.10 in early and thin Asian activity.  It rallied to 1.13 and then reversed. EUR/USD was last trading at 1.1095, a mere 0.64% above its Tuesday’s close.

EUR/USD levels to watch

In terms of technical levels, next resistances are seen at 1.1180 (200-day SMA), 1.1299/1.1300 (Nov 9 high/psychological level) and 1.1365 (Aug 18 high). On the other hand, supports could be found at 1.0989 (Nov 9 low), 1.0935 (Oct 31 low) and 1.0892 (Oct 28 low).

To learn more about this topic, check our video analysis:

EURUSD from Tip TV Productions on Vimeo.