As we noted in our review today, "market participants are waiting for the publication (at 12:30 GMT) of the latest US inflation data." At the same time, "the upward momentum of the dollar is maintained, pushing the DXY "in the direction of more than 20-year highs near 120.00, 121.00."
As for its main competitor in the euro currency market, it continues to actively decline in tandem with the dollar. At the time of writing this article, EUR/USD was trading near 0.9733, in a sustained bear market. From a fundamental point of view, we should expect at least a strong bearish momentum in the EUR/USD pair, and at a maximum, a further fall of the pair towards 20-year lows, when it was trading near 0.8700, 0.8600. In general, the downward dynamics of EUR/USD remains.
In an alternative scenario, and if today's US CPI disappoints investors, then corrective growth is likely towards resistance levels 0.9935 (EMA50 on the daily chart), 1.0000. Their breakdown will be a signal for a stronger corrective growth with targets at the resistance levels 1.0315, 1.0485.
Support levels: 0.9700, 0.9600, 0.9535, 0.9500, 0.9400, 0.9300, 0.9200, 0.9000
Resistance levels: 0.9756, 0.9774, 0.9800, 0.9871, 0.9900, 0.9935, 1.0000, 1.0315, 1.0485
- see details -> https://www.instaforex.com/ru/forex_analysis/324221/?x=PKEZZ
- signals -> https://www.mql5.com/en/signals/author/edayprofit
- see also “Technical analysis and trading recommendations” -> https://t.me/fxrealtrading
