EUR/USD Outlook: Euro eases from key barriers on better than expected US data

Slobodan Drvenica Windsor Brokers

EURUSD

The Euro moves lower in early US trading on Friday as stronger than expected US PPI data inflated dollar. The pair repeatedly failed to close above strong 1.1254/85 resistance zone (100DMA/broken bull-trendline/converged 20/30DMA's) that was cracked on Thu/Fri, but subsequent pullbacks marked strong rejections, confirming the strength of resistances. Thursday's Doji with long upper shadow and today's easing, suggest that short recovery off week's low at 1.1193, might be over. Fresh weakness pressures supports at 1.1236 (55DMA) and thin daily cloud (1.1227/29) break of which is needed to confirm reversal scenario and re-focus lows at 1.1193/81. Very strong bearish momentum on daily chart supports the notion, however, overextended 14-d momentum and north-heading stochastic may slow bears.

Res: 1.1254; 1.1274; 1.1285; 1.1300
Sup: 1.1236; 1.1227; 1.1193; 1.1181

Interested in EURUSD technicals? Check out the key levels

1. R3 1.132
2. R2 1.1303
3. R1 1.1279
PP 1.1262
1. S1 1.1237
2. S2 1.122
3. S3 1.1196

Author

Slobodan Drvenica

Windsor Brokers

Industry veteran with over 22 years’ experience, Slobodan Drvenica joined Windsor Brokers in 1995 when he was an active trader for more than 10 years, managing the trading desk and own account departments.

EUR/USD faces next resistance near 1.1930

EUR/USD has surrendered its earlier intraday advance on Thursday and is now hovering uncomfortably around the 1.1860 region amid modest gains in the US Dolla. Moving forward, markets are exoected to closely follow Friday’s release of US CPI data.

GBP/USD change course, nears 1.3600

GBP/USD gives away its daily gains and recedes toward the low-1.3600s on Thursday. Indeed, Cable now struggles to regain some upside traction on the back of the sudden bout of buying interest in the Greenback. In the meantime, investors continue to assess a string of underwhelming UK data releases released earlier in the day.

Gold plunges on sudden US Dollar demand

Gold drops markedly on Thursday, challenging the $4,900 mark per troy ounce following a firm bounce in the US Dollar and amid a steep sell-off on Wall Street, with losses led by the tech and housing sectors.

Ripple collaborates with Aviva Investors to tokenize funds as XRP interest declines

Ripple (XRP) exhibits subtle recovery signs, trading slightly above $1.40 at the time of writing on Thursday, as crypto prices broadly edge higher. Despite the metered uptick, risk-off sentiment remains a concern across the crypto market, as retail and institutional interest dwindle.

A tale of two labour markets: Headline strength masks underlying weakness

Undoubtedly, yesterday’s delayed US January jobs report delivered a strong headline – one that surpassed most estimates. However, optimism quickly faded amid sobering benchmark revisions.

Aster Price Forecast: Demand sparks on Binance Wallet partnership for on-chain perpetuals

Aster is up roughly 9% so far on Thursday, hinting at the breakout of a crucial resistance level. Aster partners up with Binance wallet for the second season of the on-chain perpetuals challenge.