EUR/USD probing lows near 1.1560 ahead of FOMC minutes

The pair met string resistance at the 1.1600 handle.
The greenback stays depressed on Trump, risk-on trade.
FOMC minutes will be the salient event later in the day.

Pablo Piovano FXStreet

The upbeat sentiment in the risk-associated space remains well and sound so far this week, pushing EUR/USD higher although meeting strong resistance in the 1.1600 neighbourhood.

EUR/USD looks to Trump, FOMC, risk

The pair is looking to add gains for the sixth session in a row on Wednesday, briefly clinching the 1.1600 neighbourhood late on Tuesday although losing some upside traction afterwards.

US political jitters hit the greenback after Trump’s former campaign chair P.Manafort and his lawyer M.Cohen implicated President Trump in a conspiracy to influence an election. The news forced the US Dollar Index (DXY) to shed further ground and boosted spot to the 1.1600 area, or fresh multi-day peaks.

Looking ahead, the recent upside in spot will surely be put to the test in light of the publication of the FOMC minutes later in the European evening. Further data will come from the US housing sector and the release of July’s Pending Home Sales.

EUR/USD levels to watch

At the moment, the pair is losing 0.05% at 1.1564 and a breakdown of 1.1546 (21-day SMA) would target 1.1447 (10-day SMA) en route to 1.1299 (2018 low Aug.15). On the other hand, the next hurdle aligns at 1.1600 (high Aug.21) followed by 1.1629 (high Aug.8) and finally 1.1745 (high Jul.31).

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.

GBP/USD pops to three-week highs above 1.3400

GBP/USD accelerates its advance and surpasses the key 1.3400 barrier on Wednesday. That said, Cable clinches new multi-week tops on the back of the resurgence of the selling interest in the Greenback despite persistent tensions in the Middle East.

EUR/USD reverses losses, targets 1.1450

EUR/USD trades with decent gains north of the 1.1400 hurdle in the latter part of Wednesday’s NA session. The fresh offered stance in the US Dollar allowed the pair to revert the initial drop and refocus on the upside despite the hawkish tone from the FOMC Minutes and persistent geopolitical tensions.

Gold trims losses, looks at $4,100

Gold manages to regain some composure and bounce off earlier lows on Wednesday. The precious metal now shifts its focus to the $4,100 mark per troy ounce amid decent losses in the US Dollar and steady geopolitical jitters.

Dogecoin Forecast: DOGE risks sliding below $0.07 despite returning retail interest

Dogecoin (DOGE) edges lower toward support at $0.07 at the time of writing on Wednesday. The meme coin reflects a broader sell-off in the crypto market, primarily attributed to uncertainty over tensions in the Middle East. Iran launched attacks on American military bases in the Middle East on Wednesday in retaliation for attacks by the United States (US) on several places in Iran.

2.50%: Why the Kiwi's first hike in three years is a wager on a number nobody can see

The Reserve Bank of New Zealand (RBNZ) raised the Official Cash Rate (OCR) by 25 basis points to 2.50% at 02:00 GMT on Wednesday, its first hike in three years and the moment the bank that cut deeper than any G10 peer last cycle turned to face the other way.

Bye, forward guidance: How to trade when central banks choose silence

Central banks have spent years telling markets what might come next. Now, traders face the possibility that they say a lot less. From the Federal Reserve to the European Central Bank and the Bank of England, policymakers are pushing back against forward guidance.