EURUSD Bullishness Likely Continue as Eurozone M3 Money Supply is Set to Grow

EURUSD- Technical Analysis for US binary Options

United States – Unemployment Claims

On Thursday, at GMT 1:30 p.m., the US Department of Labor will release the unemployment claims figure, which measures the changes in the number of people who claimed for unemployment insurance over the last week.

US Binary options investors consider the unemployment claims data to be one of the most important fundamental indicators of the US job market. This is primarily because unemployment and consumer spending has direct correlation and an increasing number of unemployment claims indicate lower consumer spending in the economy, which makes up the bulk of the economic activity in the United States.

Last week, the US unemployment claims figure came out at 245,00 and the forecast for this week is set at 241,000.

Eurozone – M3 Money Supply

On Friday, at GMT 9:00 a.m., the European Central Bank will release the year-over-year M3 money supply figure that measures the changes in the total quantity of issues currency in the greater Europe. The M3 consists of all hard currency in circulation as well as the bank deposits, including in the central bank.

As the M3 money supply increases, it makes funds available for investments. However, an excess money supply can also lead to inflation and liquidity trap in the economy. Hence, the European Central Bank often adjust their interest rate policy based on the current M3 money supply situation. As a result, binary options traders consider the quantity of the M3 can to be a leading indicator of the future direction of the economy.

Last month, the Eurozone M3 money supply increased by 5.0%, and this month the forecast is set at a 4.9% increase.

EURUSD Forecast

EURUSD Analysis for US binary options - 26th December 2017

Since breaking above the downtrend line on November 14, the EURUSD traded within a narrow range between 1.1730 and 1.1940, where the 1.1880 acted as a major resistance. Last week, the EURUSD turned bullish again and penetrated above the 1.1880 level, but failed to close above it on the daily timeframe. Currently, the EURUSD is trading just below the resistance around 1.1880.

As the Eurozone M3 Money Supply is expected to grow by 4.9% last month, but the US unemployment claims figure is expected to remain above the 240,000 level on the last week of the year, we believe it would set a bullish fundamental outlook for the EURUSD this week. Therefore, if the EURUSD closes above the resistance near 1.1880, it would likely attract additional bullish momentum in the market.

Hence, US binary options traders should look out for trading opportunities above this major resistance level around 1.1880.

BTCUSD Forecast for Bitcoin traders

BTCUSD Analysis for Bitcoin Brokers - 26th December 2017

After reaching near 20,000, the BTCUSD lost the bullish momentum last week due to a number of factors and suddenly started a major bearish retracement move that pushed the bitcoin price to near 11,200. After Chicago Mercantile Exchange (CME) and Chicago Board Options Exchange (CBOE) successfully launched bitcoin futures, the market initially remained highly bullish and even after latest bearish swing, around $1.6 billion worth of bitcoins were exchanged. Hence, it is safe to say that a bullish move is likely happen as soon as the market comes out of the holidays, probably on the first week of 2018.

Nonetheless, while the BTCUSD was plummeting last week, it tried to make a comeback, but found resistance near the 15785 level and going forward, this key level will likely act as a major psychological resistance to bitcoin price.

Hence, US bitcoin traders should look out for trading opportunities above this major resistance level around 15785.

Top 3 US Binary Options Brokers to trade BTCUSD and EURUSD

Top Bitcoin Broker: RaceOption

Good Broker: BinaryCent

BitBot Pro

US Regulated Platform: NADEX

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