For Traders

Analytical Reviews

Trading plan

11.12.201910:05 Forex Analysis & Reviews: Trading plan on EUR/USD for December 12, 2019. Investors are getting ready for Doomsday.

This information is provided to retail and professional clients as part of marketing communication. It does not contain and should not be construed as containing investment advice or investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance. Instant Trading EU Ltd. makes no representation and assumes no liability as to the accuracy or completeness of the information provided, or any loss arising from any investment based on analysis, forecast or other information provided by an employee of the Company or otherwise. Full disclaimer is available here.

So, the critical days of December has come: today at 20:00 London time, the Fed will announce a decision on monetary policy. There is more than 50% of probability that the Fed rate will remain unchanged at 1.625%, however, there is still a chance that it will be reduced by 0.25%. Lower rates is a signal to sell the dollar. The rate cut was insisted by US President Trump.

Furthermore, on Thursday, expect the ECB's decision on rates - and elections to the British Parliament. The latest pre-election polls show that the Conservative party, led by Boris Johnson, will win, which is positive for both the pound and the euro, as Johnson has the option of Brexit ready.

Quotes for put options on US stocks rose and investors are buying protective options in case of a sharp fall in the US market.

EUR / USD: keep purchases at 1.1035.

Possible breakthrough on purchases at 1.1115 up.

Sell at 1.0980.

More aggressively: Sell at 1.1035.

Back to the list

Open trading account

InstaForex analytical reviews will make you fully aware of market trends! Being an InstaForex client, you are provided with a large number of free services for efficient trading.