EURGBP probe above daily cloud base generates bullish signal

Slobodan Drvenica Windsor Brokers

EURGBP

Bounce from 0.8453 (14 Feb low/200SMA) extends into the fourth day and probed above strong barrier at 0.8575 (daily Ichimoku cloud base, also near Fibo 61.8% of 0.8642/0.8453 downleg) on today's fresh extension higher.
Spike to 0.8590 (fresh two-weeks high) was so far short-lived and failing to break barriers on first attempt.
However, near-term studies are bullish and outlook of daily technicals improving that supports for renewed attempts higher.
Close above Fibo 61.8% barrier and sustain break into the cloud is needed to confirm reversal from 0.8543 and signal further upside action.
Next barrier lies at 0.8597 (Fibo 76.4%) ahead of more significant 0.8642 (06 Feb high/100SMA) and 0.8651/62 (daily Kijun-sen/cloud top) that mark next pivots.
End of the week profit-taking may further delay bulls and signal extended consolidation before fresh attempts higher. Broken daily Tenkan-sen (0.8545) offers solid support that should keep the downside protected.

Res: 0.8575; 0.8597; 0.8642; 0.8662
Sup: 0.8550; 0.8520; 0.8485; 0.8457

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 holds lower ground near 1.1850 ahead of EU/ US data

EUR/USD remains in the negative territory for the fourth successive session, trading around 1.1850 in European trading on Friday. A broadly cautious market environment paired with modest US Dollar demand undermines the pair ahead of the Eurozone GDP second estimate and the critical US CPI data.

GBP/USD keeps losses around 1.3600, awaits US CPI for fresh impetus

GBP/USD holds moderate losses at around 1.3600 in the European session on Friday, though it lacks bearish conviction. The US Dollar remains supported amid softer risk tone and ahead of the US consumer inflation figures due later in the NA session on Friday.

Gold trims intraday gains to $5,000 as US inflation data loom

Gold retreats from the vicinity of the $5,000 psychological mark, though sticks to its modest intraday gains heading into the European session. Traders now look forward to the release of the US consumer inflation figures for more cues about the Fed policy path. The outlook will play a key role in influencing the near-term US Dollar price dynamics and provide some meaningful impetus to the non-yielding bullion.

US CPI data set to show modest inflation cooling as markets price in a more hawkish Fed

The US Bureau of Labor Statistics will publish January’s Consumer Price Index data on Friday, delayed by the brief and partial United States government shutdown. The report is expected to show that inflationary pressures eased modestly but also remained above the Federal Reserve’s 2% target.

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.

Solana Price Forecast: Mixed market sentiment caps recovery

Solana (SOL) is trading at $79 as of Friday, following a correction of over 9% so far this week. On-chain and derivatives data indicates mixed sentiment among traders, further limiting the chances of a price recovery.