EUR/USD offered now, challenges 1.1900

EUR losses traction following final PMIs.
The 1.1940/50 band still caps the upside.
Focus is now on US ISM manufacturing, Fedspeak.

Pablo Piovano FXStreet

The upside momentum in the shared currency is losing the grip now, with EUR/USD currently challenging the key support in the 1.1900 neighbourhood.

EUR/USD attention is now on US data, Fedspeak

After two consecutive sessions with gains, the pair’s weekly upside faltered in the mid-1.1900s and is so far reverting a 4-week positive streak. Furthermore, spot gained around 4-big figures during November, staging a sharp rebound from the 1.1555/50 band seen in early November.

EUR is now struggling for direction well into the European morning despite auspicious prints from manufacturing PMIs in Euroland during last month, reinforcing at the same time the strong fundamentals in the region.

Without further data releases scheduled in the euro bloc, market participants will sift their attention to the US docket, where October’s ISM manufacturing will be the salient publication along with speeches by St. Louis Fed J.Bullard (2019 voter, centrist), Dallas Fed R.Kaplan (voter, hawkish) and Philly Fed P.Harker (voter, hawkish).

EUR/USD levels to watch

At the moment, the pair is gaining 0.03% at 1.1906 and a breakout of 1.1961 (high Nov.27) would target 1.2033 (high Sep.20) en route to 1.2069 (high Aug.29). On the other hand, the immediate support aligns at 1.1848 (10-day sma) followed by 1.1810 (low Nov.30) and finally 1.1762 (21-day sma).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD holds firm above 1.1900 as US NFP looms

EUR/USD holds its upbeat momentum above 1.1900 in the European trading hours on Wednesday, helped by a broadly weaker US Dollar. Markets could turn cautious later in the day as the delayed US employment report for January will takes center stage.

GBP/USD recovers losses despite rising UK political risks, BoE rate cut bets

Pound Sterling advances against the US Dollar after registering modest losses in the previous session, trading around 1.3650 during the Asian hours on Wednesday. The pair could extend losses as the Pound Sterling faces pressure from rising political risks in the UK and growing expectations of near-term Bank of England rate cuts.

Gold sticks to gains near $5,050 as focus shifts to US NFP

Gold holds moderate gains near the $5,050 level in the European session on Wednesday, reversing a part of the previous day's modest losses amid dovish US Federal Reserve-inspired US Dollar weakness. This, in turn, is seen as a key factor acting as a tailwind for the non-yielding yellow metal ahead of the critical US NFP release.

US Nonfarm Payrolls expected to show modest job gains in January

The United States Bureau of Labor Statistics will release the delayed Nonfarm Payrolls data for January on Wednesday at 13:30 GMT. Investors expect NFP to rise by 70K following the 50K increase recorded in December.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

BNB prolonged correction signals deeper bearish momentum

BNB (BNB), formerly known as Binance Coin, is trading below $618 on Wednesday, marking the sixth consecutive day of correction since the weekend. The bearish price action is further supported by rising short bets alongside negative funding rates in the derivatives market.