EURUSD Continues to Climb towards 11100
There is plenty of room to move up towards 1.1100.
Share this:
As my colleague Fawad wrote last week, EUR/USD is at a pivotal point. On a day when the economic calendar is light, the pair remained stuck near 1.1050. Headlines rule the day, and when news was released that Germany is mulling the creation of a shadow budget to increase public investment beyond restrictions of national debt rules if the outlook warrants, EUR/USD pushed from 1.1030 to 1.1057. It now looks like there is plenty of room to move up towards 1.1100.
EUR/USD remains in a long-term descending triangle, however on September 3rd, the pair created a hammer at trendline support on a daily timeframe. Although not textbook, with the bullish candle on the 4th one can argue this is a morning star candlestick formation, which is a powerful 3 candle reversal signal. Although there is a lot of time left in the day, if the pair closed above 1.1057 a bullish engulfing candle will be formed, which suggests the pair could move up to 1.1100, which is trendline resistance and the 38.2% retracement level from the July 25th high to the Sept 3rd lows. Above that, there is horizontal resistance and the 50% retracement level from the same time period near 1.1170. Support remain at September 3rd lows, at 1.0925.
Source: Tradingview, City Index
On a light data day such as today, always be on the lookout for headlines regarding Brexit and ECB. Although there have been several Brexit headlines today, none have noticeably affected EUR/USD. Also, Mario Draghi’s last meeting as ECB President is Thursday. It’s worth watching for headlines regarding the upcoming meeting.
As my colleague Fawad wrote last week, EUR/USD is at a pivotal point. On a day when the economic calendar is light, the pair remained stuck near 1.1050. Headlines rule the day, and when news was released that Germany is mulling the creation of a shadow budget to increase public investment beyond restrictions of national debt rules if the outlook warrants, EUR/USD pushed from 1.1030 to 1.1057. It now looks like there is plenty of room to move up towards 1.1100.
EUR/USD remains in a long-term descending triangle, however on September 3rd, the pair created a hammer at trendline support on a daily timeframe. Although not textbook, with the bullish candle on the 4th one can argue this is a morning star candlestick formation, which is a powerful 3 candle reversal signal. Although there is a lot of time left in the day, if the pair closed above 1.1057 a bullish engulfing candle will be formed, which suggests the pair could move up to 1.1100, which is trendline resistance and the 38.2% retracement level from the July 25th high to the Sept 3rd lows. Above that, there is horizontal resistance and the 50% retracement level from the same time period near 1.1170. Support remain at September 3rd lows, at 1.0925.
Source: Tradingview, FOREX.com
On a light data day such as today, always be on the lookout for headlines regarding Brexit and ECB. Although there have been several Brexit headlines today, none have noticeably affected EUR/USD. Also, Mario Draghi’s last meeting as ECB President is Thursday. It’s worth watching for headlines regarding the upcoming meeting.
The complete CFD trading experience
Award-winning platforms, competitive spreads, low commissions and dedicated support.
We live and breathe the markets and are dedicated to helping traders realise their ambitions as we continue to set the industry bar.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
AUD/USD forecast: Currency Pair of the Week | September 28, 2026
The week has started with stocks, gold, silver and bitcoin all falling, as crude oil rebounded and bond yields pushed further higher. Trump refusing to agree to Tehran’s proposal to re-open the Strait of Hormuz has left the markets disappointed. Still, reports that mediators are expected to hold talks with the two sides on an amended version of the 7-day proposal that Iran presented, keeps hopes alive that we may see some progress.
EUR/USD weekly outlook: Oil, inflation and NFP in focus
After coming under significant pressure in recent weeks, the EUR/USD came off its lows to finish the week on a positive note on Friday, albeit with only a mild rebound. That was not enough to prevent the exchange rate falling for the third consecutive week, as the US dollar and bond yields rallied across the board.
USD/JPY Weekly Outlook: Payrolls loom as US rates remain the dominant driver
Strong US growth and hawkish Fed pricing continue to support USD/JPY, while intervention risk appears to be kicking in at lower levels
StoneX Europe Ltd may make third party material available on this website which may contain information included but not limited to the conditions of financial markets. The material is for information purposes only and does not contain, and should not be construed as containing, investment advice and/or investment recommendation and/or an investment research and/or an offer of or solicitation for any transactions in financial instruments; any decision to enter into a specific transaction shall be made by the client following an assessment by him/her of their situation.
StoneX Europe Ltd makes no representation or warranty and assumes no liability as to the accuracy or completeness of the information provided, nor any loss arising from any investment based on a recommendation, forecast or other information supplied. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. We are not under any obligation to update any such material. Any opinion made may be personal to the author and may not reflect the opinion of StoneX Europe Ltd.