The common currency maintains the soft tone at the beginning of the week, holding near the 1.1400 level against the greenback. With no macroeconomic data scheduled in the EU, the EUR is being weighed partially by the positive tone in stocks, which opened firmer after last week's decline. Also, comments from BOJ's Kuroda, who said that the Japanese Central Bank will add stimulus if needed to put a halt to yen's appreciation, are helping the greenback today.
Nevertheless, the EUR/USD pair remains within the well-defined range that dominated the pair ever since this April started. Later on today, a couple of FED's speakers alongside with a general statement on economic policies of the US Central Bank will hit the wires, all of which are able to imprint some life to the pair.
View the Live chart of the EUR/USD
From a technical point of view, the pair continues to lack directional strength, as in the 4 hours chart, the moving averages are pretty much horizontal, with the price moving back and forth around the 20 SMA. With the 100 and 200 SMAs well below the current level, however, the longer term perspective continues to favor the upside.
In the same chart the technical indicators have turned south, yet only below 1.1330, the base of the latest range, the pair can fall further, down to the 1.1280 level first, and to 1.1245 later. On the other hand, the upside continues to be limited by a major static resistance in the 1.1460 region, the level to beat so indicate a rally up to 1.1500.
Latest updates on the EUR/USD Forecast
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