EUR/USD Price Analysis: Retreated from 1.1320s down to 1.1310 as investors head into the weekend

Once the European desks head into the weekend and the US inflation reaction settled down, the EUR/USD climbs 0.14%, trading at 1.1310 during the New York session at the time of writing.

Ahead of the Wall Street open, the US Bureau of Labor Statistics (BLS) reported that US inflation for November increased to 6.8%, as shown by the CPI annually based. Also, the Core CPI, which means inflation without volatile items like food and energy, rose to 4.9%, as foreseen by analysts.

Read more: EUR/USD heads for another weekly close around 1.1300

The US bond yields trim some earlier losses at press time, except for 2s, down two basis points at 0.6604%, a headwind for the greenback, with the US Dollar Index down 0.23%, sitting at 96.05. Meanwhile, the US 10-year benchmark note is flat at 1.482%, after dropping almost two basis points as market participants dug deep into the CPI report.

EUR/USD Price Forecast: Technical outlook

The 1-hour chart depicts the EUR/USD pair faded the upward move, around the 1.1324 area, nearby the November 26 high at 1.1331, retreated towards the 1.1310s. It is worth noticing that the last four 1-hour candles, rejected around 1.1320, leaving the aforementioned as solid resistance. However, the 50-hour simple moving average (SMA)  at 1.1308 would help EUR bulls to keep the pair within the 1.1308-20 range.

To the upside, the first resistance would be 1.1320. A breach of the latter would expose the R1 daily pivot at 1.1331, followed by the December 9 high at 1.1345.

On the flip side, the confluence of the double-zero, the 200-hour SMA, and the central daily pivot around 1.1300-05 are the first support. In the event of breaking lower, the immediate support would be the 100-hour SMA at 1.1294, followed by the December 9 cycle low at 1.1278.