|

EUR/USD testing highs near 1.0920 ahead of German CPI

The softer tone in the greenback is helping EUR/USD to print daily highs in the 1.0920 region ahead of key German releases.

EUR/USD attention to German CPI, US GDP

The pair remains on its way to close the first week with gains after three consecutive pullbacks, managing to bounce off lows in the mid-1.0800s although the upside seems to have run out of steam in the 1.0950 zone, coincident with July’s troughs and the 2014-2016 resistance line.

The quite resilient tone in spot obbeys almost exclusively to USD-dynamics, although the prospects of extra gains appear clouded by increasing expectations of a Fed’s rate hike by year-end, which remains supportive of the buck.

Later in the session advanced CPI figures for the current month are due in Germany, ahead of flash US GDP figures during the third quarter and the final print of October’s Reuters/Michigan index.

EUR/USD levels to watch

The pair is now up 0.18% at 1.0917 facing the next resistance at 1.0947 (high Oct.26) followed by 1.1016 (7-month resistance line) and then 1.1041 (post-ECB spike Oct.20). On the other hand, a breakdown of 1.0820 (low Mar.10) would target 1.0709 (2016 low Jan.5) en route to 1.0538 (low Dec.3 2015).

Author

Pablo Piovano

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

More from Pablo Piovano
Share:

Editor's Picks

EUR/USD struggles below 1.1800 ahead of US data, Fedspeak

EUR/USD remains trapped in a tight range below 1.1800 in the European session on Tuesday. The pair struggles amid a modest US Dollar strength and an improvement in risk sentiment, even as US tariff uncertainty lingers. The focus now remains on the US data and Fedspeak. 

GBP/USD stays defensive below 1.3500 as USD firms up

GBP/USD stays on the back foot below 1.3500 in the European trading hours on Tuesday. The pair declines as the US Dollar rebounds from losses recorded over the previous two sessions. Traders will focus on the US weekly ADP Employment Change and Consumer Confidence data due later in the day, along with speeches from Federal Reserve officials.

Gold holds pullback below $5,200 amid USD uptick

Gold holds moderate losses below $5,200 in European trading on Tuesday, though it lacks follow-through selling. Following the previous day's knee-jerk fall in reaction to US President Donald Trump's new global tariffs and the subsequent bounce, the US Dollar attracts fresh buyers ahead of mid-tier data and Fedspeak. 

Dogecoin, Shiba Inu, and Pepe extend losses on bearish signals

Meme coins are facing renewed selling pressure amid fading broad risk-on sentiment so far this week, with Dogecoin, Shiba Inu, and Pepe extending their losses after recent corrections.

Supreme Court nixes tariffs, Trump teases 15% global tariff

On February 20th, the Supreme Court ruled that Trump’s global tariffs under IEEPA authority were unconstitutional, effectively nullifying the framework. However, the relief was short-lived. Within hours, Trump floated a 15% blanket tariff under an alternative legal authority.

Dogecoin, Shiba Inu, and Pepe extend losses on bearish signals

Meme coins are facing renewed selling pressure amid fading broad risk-on sentiment so far this week, with Dogecoin, Shiba Inu, and Pepe extending their losses after recent corrections.