• The USD recovers some of Tuesday’s losses, as the shared currency finished in the green, amid Fed’s Powell hawkish comments.
  • EUR/USD found dynamic support at the 50-hour simple moving average (SMA).
  • Fed’s Powell favors a faster taper and expects inflation to moderate by 2022.

During the New York session, the EUR/USD moderately falls, down some 0.20%, trading at 1.1320 at the time of writing. The market sentiment is upbeat, as portrayed by US equity indices rising between 1.06% and 1.50%. At press time, the Federal Reserve Chairman Jerome Powell testifies on the US Congress.

Summarizing some of Powell’s remarks, he said that “[Fed] don’t see wages moving up at a troubling rate that would spark inflation.”. He reiterated that it is time to move from the word transitory from inflation and expects that the abovementioned will moderate in 2022, despite not being sure of the forecast. Powell added that “It is appropriate we consider speeding taper at next meeting to wrap it up earlier.”

EUR/USD Price Forecast: Technical outlook.

As Fed’s Chair Powell testifies at the Congress in the last hour, the EUR/USD pair has remained subdued in a 40-pip range, between 1.1318-58 without swinging violently as on Tuesday’s session. At press time, the pair is testing the 50-hour SMA at 1.1318 for the third time in the day, coinciding with the daily central pivot point, indicating that robust support might deter USD bulls from pushing the pair downwards. In the outcome of a break of the latter, the first support would be the 100-hour SMA at 1.1289, followed by the 200-hour at 1.1267.

On the flip side, if the 50-hour SMA holds, the first resistance would be Wednesday’s cycle high at 1.1359. A break of that level would expose the November 30 swing high at 1.1382, followed by the R1 daily pivot at 1.1401.


Today last price 1.1319
Today Daily Change -0.0023
Today Daily Change % -0.20
Today daily open 1.1342
Daily SMA20 1.139
Daily SMA50 1.1525
Daily SMA100 1.1659
Daily SMA200 1.1829
Previous Daily High 1.1383
Previous Daily Low 1.1235
Previous Weekly High 1.1324
Previous Weekly Low 1.1186
Previous Monthly High 1.1616
Previous Monthly Low 1.1186
Daily Fibonacci 38.2% 1.1326
Daily Fibonacci 61.8% 1.1292
Daily Pivot Point S1 1.1257
Daily Pivot Point S2 1.1172
Daily Pivot Point S3 1.1109
Daily Pivot Point R1 1.1405
Daily Pivot Point R2 1.1468
Daily Pivot Point R3 1.1553



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD on the way to 1.1280 key support

EUR/USD fails to cheer greenback weakness, stays depressed around 1.1310 during the initial Asian session on Friday. While portraying the sober mood of the major pair traders, the quote remains below 200-SMA for the first time in a fortnight.


GBP/USD holds above 1.3600 as dollar fails to capitalize on US data

GBP/USD tested 1.3600 earlier in the day but managed to stage a recovery in the early American session. The greenback is having a hard time gathering strength as investors assess the mixed macroeconomic data releases from the US.


Gold bulls looking for a re-test of November high at 1,877.15

Gold resumed its advance after a short-lived consolidative stage, reaching a fresh two-month high of $1,847.92 a troy ounce. The dollar came under renewed selling pressure after the US released mixed economic figures.

Gold News

Decentraland holds support but MANA may return to $2

Decentraland price action is, at present, very indecisive. However, while the overall outlook is bearish – especially within the Ichimoku Kinko Hyo system, there is evidence that a turnaround to the upside may be coming soon.

Read more

When real rates are negative for a sustained period, is it a sign of looming recession?

We agree that inflation should moderate this year due to the money side of things, but worry that monetary policy is powerless against most of the supply chain issues, commodity prices, greedy consumer goods companies, and that weird labor shortage.

Read more