EUR/USD fails to extend the break above 5-DMA

Dhwani Mehta FXStreet

The EUR/USD pair finally broke the consolidative mode to the upside in the European session, although lacked follow-through as investors await ECB Draghi’s speech for fresh direction.

EUR/USD awaits US data, Draghi

Currently, EUR/USD remains better bid around 1.0885 levels, easing-off session highs reached at 1.0894 some minutes ago. The main currency pair is seen struggling hard to extend the bullish break and resumes its side-ways momentum near the upper bound of today’s trading range.

The gains remain capped in the major amid ongoing bullish tone seen behind the greenback and positive European equities, which tarnish the funding currency status of the common currency somewhat. Meanwhile, the USD index once again reverses a spike to 98.81 levels and now trades around 98.65, almost unchanged on the day.

On the data-front, the Ifo published its business sentiment surveys, with the headline German Ifo business climate having surprised positively, coming in at 110.5 points in Oct versus 109.5 booked in Sept. Focus now remains on the US consumer confidence and ECB Draghi’s speech due later in the American session.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.0894 (5-DMA/ daily high). A break beyond the last, doors will open for a test of 1.0936 (10-DMA) and from there to 1.1000 (key resistance). On the flip side, the immediate support is placed at 1.0850 (psychological levels) below which 1.0820 (March lows) and 1.0800 (round figure) could be tested.

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

EUR/USD struggles to hold above 1.1800 ahead of US data

EUR/USD finds it difficult to gather recovery momentum and retreats below 1.1800 in the second half of the day on Thursday. The US Dollar (USD) stays resilient against its peers after the hawkish surprise in FOMC Minutes, weighing on the pair ahead of the next batch of US data.

GBP/USD recovers above 1.3500 amid better mood

GBP/USD finds fresh demand and rises back above 1.3500 in the European session on Thursday. Improving risk sentiment and renewed US Dollar weakness are helping the pair recover ground ahead of mid-tier US data releases and Fedspeak.

Gold retreats from daily highs, trades below $5,000

Gold finds it difficult to stabilize above the $5,000 psychological mark on Thursday and trades slightly below this level in the early American session. Escalating geopolitical tensions in the Middle East help XAU/USD hold its ground, while the broad-based USD strength caps the pair's upside.

Injective token surges over 13% following the approval of the mainnet upgrade proposal

Injective price rallies over 13% on Thursday after the network confirmed the approval of its IIP-619 proposal. The green light for the mainnet upgrade has boosted traders’ sentiment, as the upgrade aims to scale Injective’s real-time Ethereum Virtual Machine architecture and enhance its capabilities to support next-generation payments. The technical outlook suggests further gains if INJ breaks above key resistance.

Hawkish Fed minutes and a market finding its footing

It was green across the board for US Stock market indexes at the close on Wednesday, with most S&P 500 names ending higher, adding 38 points (0.6%) to 6,881 overall. At the GICS sector level, energy led gains, followed by technology and consumer discretionary, while utilities and real estate posted the largest losses.