EUR/USD straining for a bullish continuation, 1.2500 still within grasp

EUR/USD down but definitely not out.
ECB meeting with Brexit negotiator today at 08:00 GMT.
RBNZ OCR key rate decision could introduce some volatility back into the mix.

Joshua Gibson FXStreet

EUR/USD has weakened in recent days, but buyers are fighting hard to make sure the pair doesn't spend much time below 1.2350. After the recent bout of risk aversion in the markets, Euro bulls will be looking to get the trend moving back into new territory, but they'll have to close the gap to 1.2515 first.

The ECB will be holding their Non-Monetary Policy Meeting today at 08:00 GMT in Frankfurt, where the governing council of the European Central Bank will be talking with Michel Barnier, the Chief Brexit Negotiator for the UK's Article 50 withdrawal from the EU.

EUR/USD Technicals

The Tokyo session gave EUR/USD time to think, with price ranging between 1.2377 and 1.2392, with intraday swing support/resistance at 1.2370 and 1.2402. H4 charts show bullish potential still in play, with price battling between the recent highs near 1.2520 and the lows at 1.2340. Daily charts are still very bullish, with price trading comfortably above the 34 EMA and 200-day SMA.

Today's pivot points:
R2: 1.2494
R1: 1.2435
PP: 1.2375
S1: 1.2316
S2: 1.2255

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

EUR/USD stays below 1.1850 after dismal German sentiment data

EUR/USD stays in negative territory below 1.1850 in the second half of the day on Tuesday. Renewed US Dollar strength, combined with a softer risk tone keep the pair undermined alongside downbeat German ZEW sentiment readings for February.

GBP/USD falls toward 1.3550, pressured by weak UK jobs report

GBP/USD remains under bearish pressure and extends its decline below 1.3600 on Tuesday. The United Kingdom employment data suggested worsening labor market conditions, bolstering bets for a BoE interest rate cut next month and making it difficult for Pound Sterling to stay resilient against its peers.

Gold recovers modestly, stays deep in red below $4,950

Gold (XAU/USD) stages a rebound but remains deep in negative territory below $4,950 after touching its weakest level in over a week near $4,850 earlier in the day. Renewed US Dollar strength makes it difficult for XAU/USD to gather recovery momentum despite the risk-averse market atmosphere.

Canada CPI expected to show sticky inflation in January, still above BoC’s target

Economists see the headline CPI rising by 2.4% in a year to January, still above the BoC’s target and matching December’s increase. On a monthly basis, prices are expected to rise by 0.1%.

UK jobs market weakens, bolstering rate cut hopes

In the UK, the latest jobs report made for difficult reading. Nonetheless, this represents yet another reminder for the Bank of England that they need to act swiftly given the collapse in inflation expected over the coming months.

Stellar mixed sentiment caps recovery

Stellar price remains under pressure, trading at $0.170 on Tuesday after failing to close above the key resistance on Sunday. The derivatives metric supports the bearish sentiment, with XLM’s short bets rising among traders and funding rates turning negative.