The pair EUR/USD remains heavy on the Forex after the elections in Germany, and tests the low of its range of consolidation.
After the failure on the resistance and the top of the range at 1.2000, EUR/USD started a bearish correction Friday, strengthened by the outcome of the German elections on Sunday.
After some hesitation on the support of 1.1860, the Euro Dollar continues its decline towards 1.1850.
EUR/USD thus tests the low of its range, with a break below 1.1850 would view the threshold key of 1.1825.
A break below 1.1825 and a confirmation under the 1.1800 could revive the bearish correction from the top of 1.2091.
Target markets can then be identified to 1.1775, 1.1750, 1.1720 and 1.1700.
If the support zone holds again, the consolidation is likely to continue so for the time being, with risks of a rebound in the direction of the 1.1900 and 1.1920 in a first time.
Above, the rise could worsen to return to the top of the range in the area of 1.1980/1.2000, with a threshold intermediate monitor to the 1.1950.
To the side of the fundamental, the day today was not very busy, and the Forex is primarily focused on the consequences of the weakening of the party of Merkel in the German Bundestag, and of possible coalitions to come.
It will retain all the same speech of Draghi, who has reasoned in aggregate, is as optimistic, but with a few notes of caution, including the volatility of the exchange rate. It should be noted also the comments of the minister of foreign affairs of North Korea in response to Donald Trump, who takes note of the declaration of war by the United States.
Tomorrow on the economic calendar we will follow the index Case-Schiller on housing prices US, the trust of the consumers US according to the Conference Board and new home sales US.
We will monitor also the speech of Yellen later in the end of the day, where she could speak of monetary policy.
The pair EUR/USD is currently trading at 1.1855 on the Forex.
Chart EUR/USD H1
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This chart has been realized with the trading platform TradingStation 2 provided by FXCM France.