FX.co ★ EUR/USD analysis for January 13 2021 - Potential for the another downside movement towards 1.2137

Prior +1.7%

• Market index 965.2 vs 827.2 prior
• Purchase index 338.9 vs 313.8 prior
• Refinancing index 4,706.3 vs 3,917.6 prior
• 30-year mortgage rate 2.88% vs 2.86% prior

That is a major jump in mortgage activity to start the new year, with both purchases and refinancing seeing a significant boost. Again, this just reaffirms that the US housing market continues to hold up rather strongly in light of the virus crisis.

Further Development

Analyzing the current trading chart of EUR/USD, I found thatthere is the rejection of the key pivot level at 1,2227and there is potetnial for pottential downside movement towards 1,2137 and 1,2059.

Stochastic oscillator is showing overbought condition and fresh bear cross, which is another sign for the downside continuation.

1-Day relative strength performance Finviz

Based on the graph above I found that on the top of the list we got Corn and Wheat today and on the bottom Ethanol and Canola.

EUR is negative for today, which is another sign for the downside movement.

Key Levels:

Resistance: 1,2227

Support levels:1,2137 and 1,2059.