EUR/USD Price Analysis: EUR/USD spikes as traders react to rate cut from the Fed
|- EUR/USD trades 0.35% higher on the session as traders react to fundamental developments.
- There is another resistance level close by that the bulls could look to target.
EUR/USD 4-Hour Chart
EUR/USD has spiked around 50 pips or so after the Fed announced a 50 bps rate cut in response to the coronavirus outbreak.
Currently, the pair is struggling at the previous wave high of 1.1185.
If this level breaks, the bulls could look to target the next resistance zone at1.1239.
It seems that the market has been right in pricing in the rate cut since Jerome Powell gave an interview last Friday.
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EUR/USD Daily Chart
On the daily chart, the pair has now clearly broken through the trendline and could be headed for higher levels.
The rate cuts could have been priced in, so there may not be a frantic push higher.
If the price does hold above the trendline, the next resistance higher past the one mentioned above could be nearer to 1.1347.
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