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26 Apr 2016
EUR/USD in flat-lining below 10-DMA, US data in focus
Having stalled its recovery just shy of 10-DMA at 1.1281, the EUR/USD pair continues to move back and forth in a tight 12-pips range so far this session, awaiting fresh incentives from the upcoming US data, as the Fed begins its 2-day policy meeting later today.
EUR/USD cautious before macro-heavy second-half this week
Currently, EUR/USD trades modestly flat at 1.1270, keeping range below fresh session highs reached at 1.1275 in the last hour. The main currency pair continues to consolidate the previous rebound and remains side-lined below 10-DMA barrier, as the bulls adopt a cautious tone and refrain from taking on the recovery beyond 1.13 handle heading towards an action-packed second-half this week.
A slew of crucial economic data from the US and Eurozone are lined up for release in the latter part of this week, including the durable goods and advance GDP figures from the US, while from the Euro zone, we have the flash CPI estimate and German retail sales and on the cards.
Besides, the main market moving events for this week are expected to be the FOMC and BOJ monetary policy verdicts, which are likely to have significant impact on the USD flows, and hence, eventually on the EUR/USD pair.
Meanwhile, the US dollar continues to trade subdued across the board as markets digest poor US new home sales data, while worsening risk conditions also weighs on the risk currency USD, therefore, keeping the sentiment around EUR/USD buoyed.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance at 1.1281/88 (10-DMA/ 1h 100-SMA). A break beyond the last, doors will open for a test of 1.1300 (round number). On the flip side, the immediate support is placed at 1.1258/57 (5-DMA/ 1h 50-SMA) below which at 1.1234/19 (daily S1 & Apr 25 Low) could be tested.
EUR/USD cautious before macro-heavy second-half this week
Currently, EUR/USD trades modestly flat at 1.1270, keeping range below fresh session highs reached at 1.1275 in the last hour. The main currency pair continues to consolidate the previous rebound and remains side-lined below 10-DMA barrier, as the bulls adopt a cautious tone and refrain from taking on the recovery beyond 1.13 handle heading towards an action-packed second-half this week.
A slew of crucial economic data from the US and Eurozone are lined up for release in the latter part of this week, including the durable goods and advance GDP figures from the US, while from the Euro zone, we have the flash CPI estimate and German retail sales and on the cards.
Besides, the main market moving events for this week are expected to be the FOMC and BOJ monetary policy verdicts, which are likely to have significant impact on the USD flows, and hence, eventually on the EUR/USD pair.
Meanwhile, the US dollar continues to trade subdued across the board as markets digest poor US new home sales data, while worsening risk conditions also weighs on the risk currency USD, therefore, keeping the sentiment around EUR/USD buoyed.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance at 1.1281/88 (10-DMA/ 1h 100-SMA). A break beyond the last, doors will open for a test of 1.1300 (round number). On the flip side, the immediate support is placed at 1.1258/57 (5-DMA/ 1h 50-SMA) below which at 1.1234/19 (daily S1 & Apr 25 Low) could be tested.