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Investments in financial products are subject to market risk. Some financial products, such as currency exchange, are highly speculative and any investment should only be done with risk capital. Prices rise and fall and past performance is no assurance of future performance. This website is an information site only.

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Forecast for EUR/USD on May 7, 2020

EUR/USD

The euro lost around 70 points as a result of yesterday. This was not prevented by terrible data on job cuts in the private sector in the United States, where, according to ADP estimates, 29.236 million were lost in April. Investors have long adapted to negative employment data and are now optimistic about the future. The European Commission, in its monthly forecast, expressed a forecast for a drop in the economy of the euro area by -7.7% y/y.

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The price is steadily falling to the previously defined target of 1.0595 on the daily chart. All indicators imply a decrease further.

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Indicators on the four-hour chart also imply that prices will continue to fall. The potential for an upward correction is limited by the MACD line in the region of 1.0846. Opening new short positions is possible with breaking the price of the signal level of 1.0782 (yesterday's low).

The material has been provided by InstaForex Company - www.instaforex.com