EURUSD Targeting 1.0620... MS Month End Model Update

Technical & Trade ViewEURUSDTrade ViewBias: Bullish Above Bearish below 1.0390TechnicalsPrimary support is 1.0390Primary upside objective is 1.0620Next pattern confirmation, acceptance above 1.0485Failure below 1.03 opens a test of 1.022020 Day VWAP bullish, 5 Day VWAP bullishToday’s New York Cut Option Expiries: 1.0240-50 (2.4BN), 1.0250 (2.0BN), 1.0300 (737M), 1.0350 (377M), 1.0390-00 (1.06BN), 1.0405-15 (777M),  1.0425 (1.0BN), 1.0450-55 (708M) Institutional InsightsAnalysts at Morgan Stanley note ‘Equity market performance appears to influence trading volumes and returns: We published a foundation report to show that local equity returns in G10 are linked to appreciating local currencies versus USD in the last week of the month, possibly due to asset manager flows (see Introducing Our FX Month-End Signal Framework). For November 2022 the model expects the US dollar to underperform: Our signal suggests that USD should weaken versus all currencies in the G10 this month-end. The FX month-end strategy considering the last week of the month has not performed as well over the past few months as it did earlier in the year. Last month, the dollar gained against most G10 currencies at month-end, though positive equity returns led to our signal suggesting dollar weakness.

from Tickmill Expert Blog - Forex Traders Blog https://www.tickmill.com/blog/eurusd-targeting-1-0620-ms-month-end-model-update"
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