EURUSD Slips as Trump Takes the Helm: Key Levels to Watch in a Bearish Climate

EURUSD lost its shine after Trump became the 47th president of the US. It hits a low of 1.06823 and is currently trading around 1.06967.

Donald Trump has officially claimed victory in the 2024 U.S. presidential election, setting himself up for a historic return to the White House. Here are the key details about this development:

Election Results

1. Electoral Votes: Trump has secured 267 electoral votes, while Kamala Harris has 214. The race is still close, especially in battleground states where results are being finalized.

Key States Won by Trump: He has won important states including:

1. Indiana
2. Kentucky
3. Florida
4. Pennsylvania
5. Georgia

States Won by Harris: Kamala Harris has won in states such as:

1. California
2. Colorado
3. Vermont

Market Focus

Investors are paying attention to upcoming Fed monetary policy, for further market movements.

Technical Analysis Overview

The pair remained below both short-term (34 and 55-4H EMA) and long-term (200-4H MA) moving averages.

Resistance Levels: Near-term resistance is at 1.07600. A breakout above this could push the pair towards targets at 1.0800/1.08750/1.09200/1.1000, and possibly 1.1070. Major bullish momentum is expected only if prices surpass 1.1150, which would open the door to 1.11780 and 1.12150.

Support Levels: Immediate support is at 1.0660. A drop below this could lead to further declines to 1.0600 and even 1.0500.

Indicator Insights (4-Hour Chart): The Commodity Channel Index (CCI) and the Average Directional Movement Index (ADX) indicate a bearish trend.

Trading Strategy

Given the bearish sentiment in technical indicators, a sensible strategy would be to sell on rallies around the 1.0760 mark, with a stop-loss at 1.0800 and a target price of 1.0600 for potential gains.