#EURUSD @ 100225 is juggling in an 11-pips range, downside remains favored amid firmer DXY, Pivot Orderbook analysis

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• EUR/USD is juggling in an 11-pips range, downside remains favored amid firmer DXY.
• Investors have trimmed manufacturing PMI forecasts due to rising interest rates by the Fed.
• A jumbo rate hike by the ECB looks likely as eurozone HICP has landed higher-than-expected at 9.1%.

The pair currently trades last at 1.00225.

The previous day high was 1.0079 while the previous day low was 0.9971. The daily 38.2% Fib levels comes at 1.0038, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.0013, expected to provide support.

The EUR/USD pair has turned sideways as investors are awaiting the release of the US ISM Manufacturing PMI data. The asset is oscillating in a narrow range of 1.0020-1.0031 in the Asian session after a downside move from Wednesday’s high at 1.0076. In the Asian session, the major extended its losses after surrendering the potential support of 1.0040. More downside looks favorable as the US dollar index (DXY) is aiming to establish itself above the round-level resistance of 109.00.

The investing community is aware of the consequences of hiking interest rates with higher velocity by the Federal Reserve (Fed). As liquidity has been squeezed dramatically from the economy, the investment spree by the corporate sector has witnessed a hiatus. Therefore, investors are bracing for a decline in economic activities. According to the preliminary estimates, the US ISM Manufacturing PMI is seen lower at 52.0 than the prior release of 52.8.

While the show-stopper event for this week will be the US Nonfarm Payrolls (NFP). Ahead of more comprehensive and considered US NFP data, the unconventional US Automatic Data Processing (ADP) has reported 132k new job additions in August in the private sector, much lower than the expectations of 288k.This has also accelerated fears of a severe decline in the US NFP, which may halt the DXY’s stalwart rally.

On the Eurozone front, an escalation in Harmonized Index of Consumer Prices (HICP) to 9.1% has soared hawkish bets n European Central Bank (ECB). Next week, a bumper rate hike announcement by ECB President Christine Lagarde looks likely as the inflation chaos is highly needed to be fixed sooner.

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0027 at the time of writing. Pair opened at 1.0053 and is trading with a change of -0.26 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1.0111, 50 SMA 1.0195, 100 SMA @ 1.0405 and 200 SMA @ 1.0809.

The previous day high was 1.0079 while the previous day low was 0.9971. The daily 38.2% Fib levels comes at 1.0038, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.0013, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 0.999, 0.9927, 0.9882
• Pivot resistance is noted at 1.0098, 1.0142, 1.0205

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