EUR/USD Price Analysis: Range bound within 1.0100-1.0260 since July 22
|- The EUR/USD is set to finish the week almost flat, gaining 0.05%.
- The shared currency daily chart is neutral-to-downwards, but the hourly is neutral-to-upwards.
- EUR/USD Price Analysis: A daily close above 1.0200 could pave the way towards 1.0300; otherwise, it might drop towards 1.0096.
The EUR/USD is trading at 1.0220, after hitting a daily high at 1.0254, but later tumbled towards the daily low at 1.0145 on elevated US inflation data. In June, the Personal Consumption Expenditures (PCE) rose by 6.8% YoY, fueling expectations of additional Federal Reserve rate hikes, despite the market's pricing in only 80 bps of tightening.
EUR/USD Price Analysis: Technical outlook
From a daily chart perspective, the EUR/USD remains neutral-to-downward biased, helped by the 20-day EMA lying below the exchange rate at 1.0167. Nevertheless, the EUR/USD, unable to capitalize on an upbeat market mood, and broad US dollar weakness, keeps the shared currency exposed to further selling pressure. If EUR/USD buyers want to shift the bias to neutral, they must reclaim the May 13 low-turned-resistance at 1.0348. Once cleared, a challenge of the 50-day EMA at 1.0423 is on the cards. On the other hand, if EUR/USD sellers achieve a daily close below 1.0200, that would pave the road towards 1.0096.
EUR/USD 1-hour chart
In the near term, the EUR/USD hourly chart depicts a sideways picture in the major. Since July 19, the EUR/USD has been trading in the 1.0096-1.0278 range, unable to break either side of the trading range, but EUR/USD traders should notice that the hourly EMAs sit below the spot price, signaling that buying pressure might be building.
Therefore, the EUR/USD first resistance would be the R1 daily pivot at 1.0250. Once cleared, the next resistance would be 1.0278, followed by 1.0300. On the flip side, the EUR/USD first support would be the 20-hour EMA at 1.0206. Break below will expose the confluence of the 200 and 50-hours EMAs at around 1.0192-94, followed by the 100-hour EMA at 1.0179.
EUR/USD Key Technical Levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.