- EUR/USD is flirting with the 50-hour MA support at press time.
- A strong bounce could be seen if ECB's Coeure confirms his opposition to the ECB's latest QE program.
EUR/USD has fallen back to the 50-hour moving average (MA) support ahead of the London open and could suffer deeper losses on dovish European Central Bank (ECB) speak.
The pair is currently trading at 1.10 and the 50-hour MA is located at 1.0998.
EUR/USD had jumped to a high of 1.1024 in the US trading hours, as the greenback was offered on renewed US-China trade tensions and headlines indicating that Nancy Pelosi, the US House Speaker, plans a formal impeachment inquiry of President Trump.
The rise, however, was short-lived, as the USD found love in Asia, possibly due to reports stating that China is planning to boost purchases of US farm products as a goodwill gesture ahead of the next month's high-level trade talks.
The pair faced rejection at the 100-hour MA and fell back to 1.10.
Focus on ECB's Cœuré speech
Benoit Coeure, member of the ECB's executive board, is scheduled to speak at 07:00 GMT.
Reports released earlier this month said Coeure, along with Bundesbank President Widemann, Banque de France President Francois Villeroy de Galhau, opposed President Draghi's idea of restarting the bond-buying program.
If Coeure confirms these reports, the EUR will likely pick up a bid. The upside, however, could be limited due to renewed German recession fears triggered by the flash German manufacturing PMI's drop to 41.4 in September, the worst reading in more than a decade.
Technical levels
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.
Recommended content
Editors’ Picks
USD/JPY flat-lines below 151.50 after soft Japanese CPI data
USD/JPY stays defensive below 151.50 after the release of a soft Japan's CPI report and mixed Industrial Production and Retail Sales data on Friday. Japanese verbal intervention also weighs on the pair amid the holiday-thinned conditions on Good Friday. US PCE inflation awaited.
AUD/USD buyers lack vigor above 0.6500 amid Good Friday trading lull
AUD/USD is trading listlessly above 0.6500 in the Asian session amid light trading on Good Friday. The Aussie pair shrugs off encouraging comments from China's FX regulator, as price action remains subdued ahead of the US PCE inflation data.
Gold ends Q1 2024 at record highs, what’s next?
Gold is sitting at an all-time high of $2,236, lacking a trading impetus amid holiday-thinned conditions on Good Friday. Most major world markets, including the United States are closed in observance of Holy Friday, leaving volatility around Gold price highly subdued.
Ripple's move above this key level could trigger nearly 50% rally for XRP
Ripple price has overcome a critical resistance level and flipped into a support floor on the weekly time frame. This development happened while XRP tightly consolidated for roughly 250 days. As this coiling up comes undone, investors can expect XRP to kickstart a massive rally.
Will they won’t they cut rates is the question of Q2?
There has been some significant push back from Fed and Bank of England members around the timing of rate cuts, and the Bank of Japan still haven’t physically intervened in the FX market to stem yen weakness although they are threatening to do so.