The American dollar retains the negative tone this Friday, extending its decline over Asian hours as the JPY kept rallying and stocks plummeting. The EUR/USD pair spiked up to 1.1413 right after the London opening, but retreated below the 1.1400 figure, holding, however, on to gains.
View the Live chart of the EUR/USD
The USD fell last Thursday as the advanced GDP reading showed the economy grew at its slowest pace in two years during the first quarter of this 2016. Data coming from Europe showed that the unemployment rate in the region fell to 10.2%, improving from previous revised 10.4%. Preliminary inflation figures for the EU for April came in below expected, as the CPI fell by 0.2% compared to a year earlier, whilst the core reading printed 0.8% against previous 1.0%.
The EUR/USD pair is hardly reacting to latest data, holding around 1.1380. The 4 hours chart shows that there is no actual upward momentum coming from technical indicators that are slightly turning lower from near overbought levels. Nevertheless, the 20 SMA continues heading north well below the current level, having crossed above the 100 and 200 SMAs, indicating bulls are still in control.
Additional advances beyond the mentioned daily high should see the pair extending up to 1.1460, a major static resistance, whilst if somehow the price breaks above it, the rally can extend up to 1.1500. A short term support is today at 1.1360, and a downward acceleration below it can see the pair retreating down to 1.1310/20, where buying interest is expected to resume.
Latest updates on the EUR/USD Forecast
View the Live chart of the EUR/USD
The USD fell last Thursday as the advanced GDP reading showed the economy grew at its slowest pace in two years during the first quarter of this 2016. Data coming from Europe showed that the unemployment rate in the region fell to 10.2%, improving from previous revised 10.4%. Preliminary inflation figures for the EU for April came in below expected, as the CPI fell by 0.2% compared to a year earlier, whilst the core reading printed 0.8% against previous 1.0%.
The EUR/USD pair is hardly reacting to latest data, holding around 1.1380. The 4 hours chart shows that there is no actual upward momentum coming from technical indicators that are slightly turning lower from near overbought levels. Nevertheless, the 20 SMA continues heading north well below the current level, having crossed above the 100 and 200 SMAs, indicating bulls are still in control.
Additional advances beyond the mentioned daily high should see the pair extending up to 1.1460, a major static resistance, whilst if somehow the price breaks above it, the rally can extend up to 1.1500. A short term support is today at 1.1360, and a downward acceleration below it can see the pair retreating down to 1.1310/20, where buying interest is expected to resume.
Latest updates on the EUR/USD Forecast
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