EUR/USD fluctuates in tight range around 1.1450

November 15, 2021

EUR/USD is struggling to find direction on Monday and continuing to move sideways around 1.1450. The dollar stays in a consolidation phase following last week’s rally. ECB’s Lagarde reiterated that conditions for a rate hike are very unlikely to be met in 2022.

Initial resistance is located at 1.1475, where the Fibonacci 23.6% retracement of the CPI-inspired decline and the 20-period SMA is located. Above that level, 1.1500 (Fibonacci 38.2% retracement) aligns as the next hurdle and if buyers managed to lift the price beyond that resistance, 1.1520 (Fibonacci 50% retracement) could be seen as the next target.

On the downside, supports could be seen at 1.1430 (static level) before 1.1400 (psychological level). If EUR/USD drops below the latter, sellers could eye 1.1370 (previous resistance, static level.