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FX.co ★ EUR/USD Hot Forecast for 13 January 2021

EUR/USD Hot Forecast for 13 January 2021

  • EUR/USD reverses Tuesday's advance and returns to sub-1.22 levels.
  • Further decline is seen if 1.2140 is cleared.

EUR/USD Hot Forecast for 13 January 2021

EUR/USD gives away the earlier advance to 1.22 and beyond and slips back to the support region on Wednesday. EUR/USD is dropping toward 1.2150 as the dollar gains ground. The move came alongside the fall in US yields following a bond auction on Tuesday. ECB President Lagarde said that some of the uncertainty has cleared and US CPI marginally beat estimates..

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That said, it seems bulls can't regain control of the markets just yet, leaving the door open to the continuation of the leg lower in the short-term horizon with the next target at the weekly lows near 1.2070 (December 9 2020).

Critical support awaits at 1.2125 region where the triple-bottom initially formed in mid-December and tackled in recent days.A breach below this level will lead EUR/USD prices further south to test the weekly lows.

Some resistance awaits at 1.222 swing high, which temporarily capped EUR/USD on Tuesday. It is followed by 1.227 followed by 1.2350 , 2021 high .

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
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