EUR/USD stalls the corrective bounce ahead of 1.1250, US data eyed

Thin liquidity and no macro drivers keep the recovery in check.
USD index retreats from 2-week highs on Mueller’s report.
Consolidation mod to extend ahead of US housing data.

Dhwani Mehta FXStreet

The bulls lack further momentum in the European session, sending the EUR/USD pair back into the familiar range between 1.1240-50 levels, as they await the US housing sector data for some trading impetus amid Easter holiday-thinned quiet trading.

The spot attempted a tepid bounce from the weekly lows of 1.1227 after the Euro got hammered across the board on disappointing German and Eurozone manufacturing PMI numbers that re-ignited Euro area growth concerns.

Adding to the downside in EUR/USD, the US dollar caught a fresh bid-wave across the board on above-forecast US retail sales data. The macro data divergence between the Eurozone and the US continues to remain in favor of the USD bulls.

Looking ahead, the recovery attempt in the pair, courtesy of broad USD pullback on Mueller’s report, appear shallow, as the technically the pair remains exposed to the downside risks, with the yearly lows at 1.1177 seen as the next likely target.

More so, the recent in-fighting within the Italian government over the graft scandal could also weigh negatively on the shared currency and keep the upside attempts limited. Italy’s Di Maio: Italy's League threatening to bring down government

Meanwhile, markets eagerly await the US housing starts and building permit data to bring some life to the otherwise Good Friday holiday-thinned/ data-dry trading session.

EUR/USD Technical Levels

EUR/USD

Overview
Today last price	1.1244
Today Daily Change	0.0013
Today Daily Change %	0.12
Today daily open	1.1231

Trends
Daily SMA20	1.1256
Daily SMA50	1.1296
Daily SMA100	1.1348
Daily SMA200	1.1441

Levels
Previous Daily High	1.1306
Previous Daily Low	1.1226
Previous Weekly High	1.1326
Previous Weekly Low	1.1213
Previous Monthly High	1.1448
Previous Monthly Low	1.1176
Daily Fibonacci 38.2%	1.1257
Daily Fibonacci 61.8%	1.1275
Daily Pivot Point S1	1.1203
Daily Pivot Point S2	1.1175
Daily Pivot Point S3	1.1124
Daily Pivot Point R1	1.1282
Daily Pivot Point R2	1.1333
Daily Pivot Point R3	1.1361

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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