Fundamental view:

The Euro has exploded to the upside reaching towards the 1.19 level, last week.  There are several resistances at this level like the fact that the US elections are still causing issues, and of course and lockdowns in the European Union. Further compounding this noise is the fact that the European Central Bank is likely to see the need to go nuclear with some type of stimulus as well.

Europe Spanish Manufacturing PMI & Final Manufacturing PMI on 2^nd November, US Wards Total Vehicle Sales on 3^rd November and US Unemployment Claims on 5^th November created bullish trend for the pair whereas US Final Services PMI on 4^th November created bearish trend for the pair.

The major economic events deciding the movement of the pair in the next week are Euro Unemployment Rate, US JOLTS Job Openings at Nov 10, OPEC Monthly Oil Market Report, Fed Governor Quarles Speech at Nov 11, US Initial Jobless Claims at Nov 12, Euro GDP quarterly report and US PPI monthly report at Nov 13.

EUR/USD Weekly outlook:

Technical View:

Last week’s high was 0.26% higher than the previous week. Maintaining high at 1.1.1891 and low at 1.1602 showed a movement of 289 pips.

In the upcoming week we expect EUR/USD to show a bullish trend. The currency pair is trading above the 200 Simple Moving Average and the MACD trades to the upside. A solid breakout above 1.1979 may open a clean path towards 1.2079 and may take a way up to 1.2267. Should 1.1691 prove to be unreliable support, the EURUSD may sink downwards 1.1503 and 1.1403 respectively. Chart formation of a rounding bottom in H4 chart sets prospects for a bullish trend. Hammer formation in H4 chart escalates the expectation for a bullish trend.