Technical Outlook: The EURUSD managed to briefly test the resistance level near 1.1850 before closing lower. The downside price action is expected to be limited to the support level at 1.1721 which was briefly tested previously. The EURUSD is also showing signs of a head and shoulders pattern with the neckline support seen at 1.1721. If the downside continues, a break down below this support level could signal further declines in store. EURUSD could be at risk of testing the lower target near 1.1588. Fundamental Outlook: Following last week's ECB meeting, the week ahead heads into a slow patch with not many marketing moving events lines up from the ECB. On Monday, the latest inflation figures will be released. The final CPI for the month of November is expected to show that consumer prices in the Eurozone rose at a slower pace of 1.5%. This was according to the flash estimates released early December. The slowdown in inflation was also noticeable in the core inflation rate which also rose at a pace of 0.9%, compared to October's 1.0%. Latr in the week, the German PPI data and the Ifo business climate data will be released which could boost the sentiment in the common currency.. Previous EURUSD Weekly Forex Forecast

EURUSD Weekly Forex Forecast - 18th to 22nd Dec 2017