Euro Dollar exchange forecast today December 2020 and January 2021

eur usd forecast 2021

Euro Dollar exchange forecast today short, medium and long period 2020-2021

Euro Dollar exchange forecast today until end 2020 and January 2021 through the cycles of the American economist William Delbert Gann.

Euro Dollar technical weekly graphic

Euro Dollar forecast today
Eur usd weekly 12.04.20

Euro Dollar forecast today

After a long negative lateral year, in the first quarter of 2020 the Euro Dollar has launched a medium and long-term Bull-campaign.

In particular, during the monthly Set Up of last March, volumes have undergone a strong surge and the returns have generated also had a positive impact from the implied volatility of the options, which in the previous period had reached a negative record, below 4%.

Even after the weekly correction of March 20 there was a lateral phase, the expiry of the time cycle of the week of May 29 has given new impetus to the European currency.

Indeed, from 1.0869 level, the Euro has begun to move upwards with double positive returns compared to its natural drift, reaching angular resistance in the 1.14 area in the week of 12 June last.

The 1X4 descending angular resistance was traced in the slide above with a purple colored vector.

After a brief lateral phase, the single currency has restarted a new propulsive phase, reaching the 1X1 angle radiated by the software with a red vector.

Indeed, breaking up the 1X4 angular resistance, the Euro market has reached the subsequent 1X8 resistance radiated in blue.

Indeed, during the summer we have witnessed a partial distribution of prices.

In fact, at the expiry of the weekly Set Up on 25 September, a correction is followed, which has brought the prices back to the 1.16 area again on the 1X1 ascending angle.

In the following weeks of October and November, we have witnessed a new lateralization of the trend: the prices has alternated between the 1X8 angular resistance in the 1.19 area and the 1X1 angular support in the 1.16 area.

The bullish out-side in the week of November 6th has given a clear bullish signal.

In the next signal of the week of November 13 and the last one of December 4, 2020, the Euro has broken the previous maximum upwards, confirming the short-term positivity.

Currency prices are currently still on the Drift, but are accelerating with ambitious targets.

Let’s watch the short analysis video where the next resistances, supports and price-time objectives will be indicated.

Euro Dollar medium term technical analysis

euro dollar exchange forecast
Euro Dollaro mensile 04.12.20

In the medium term, the Zero angle supports are visible in the photo yellow colored, which gave the possibility to give birth to a new ascending phase of the Euro.

Indeed, in the period of March, April, May 2020, the lows of the currency were perfectly intercepted by the Zero dynamic supports which, together with the expiry of the March 2020 Set Up, have allowed the reversal of the medium-term trend in an ascending direction.

The September Set Up together with the 1X8 dynamic resistance has blocked the bullish expansive phase, causing a trading range and not a real price correction.

The last expiring time cycle coincides with December 2020.

The European currency, breaking up the top of September, has re-established the medium-term upward trend.

First resistances 1.2230; 1.2555.

Long term Euro Dollar exchange

analysis tecnique euro dollar
Euro Dollar quarterly 12.04.20

The long-term dynamic is positive, not affected by the bullish pause of the monthly September Set Up.

First resistances 1.2475; 1.2670.

How to hedge the trading risks using Black Scholes Merton formulas with Top Trader© software

One of the primary tasks of the trader or investor is to determine the trend of a market.

However, it is undeniable that volatility and temporal cycles within a financial title generate vector, sometimes opposing forces.

In the investment world, understanding of risk and therefore of Money Management and Value at Risk techniques is fundamental.

However, since the 1980s, Hedging techniques of portfolio have become increasingly important.

In fact, since the late 1970s, Nobel Laureates Black Scholes Merton have devised a new geometric mathematical model to identify the price of an option.

The subsequent development of this model has allowed the widespread diffusion of risk hedging techniques in the sphere of speculative financial investments.

The Top Trader© software created to correctly apply the Gann technique has among its utilities the ability to perfectly calculate all the strategies created with the Call and Put options, using the Black Scholes formulas.

Furthermore, thanks to the various volatility models it is possible to recreate a realistic simulation of protection, not only in the volatility but also in the temporal sphere.

For more information on risk hedging see the free Master Hedging Option.

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