EUR/USD trades close to flat ranges on the day
The technical indicators are pointing to a extra bullish near-term run in EUR/USD as value holds above each key hourly transferring averages and we’re beginning to see a crossover with the 100-hour MA (pink line) transferring again above the 200-hour MA (blue line).
For now, swing area resistance round 1.1350-60 is capping positive factors within the pair as patrons proceed to stay in near-term management forward of key danger occasions in the present day and tomorrow.
Later in the present day, we’ll see the discharge of the January FOMC assembly minutes and that shall be a key issue that might doubtlessly have an effect on greenback sentiment this week. Markets shall be searching for clues on the speed hike cycle in addition to steadiness sheet normalisation so anticipate merchants to react accordingly as soon as the minutes are launched.
After which tomorrow, we’ll have a slew of PMI survey releases from Europe. With the ECB having grown extra data-dependent and markets rising more and more bearish in the direction of the Eurozone financial outlook, tomorrow’s knowledge may cement expectations of a dovish shift by the central financial institution within the March assembly to return.
Key draw back ranges to observe would be the confluence of assist across the 1.1300 deal with with each the important thing hourly transferring averages additionally sitting on the stage. As for upside ranges, look in the direction of the 1.1350-60 to cap near-term positive factors earlier than additional resistance is then seen round 1.1374 after which the 1.1400 deal with.