#EURUSD @ 1.03335 Dollar’s recovery loses momentum, even as US yields rebound. (Pivot Orderbook analysis)

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• Dollar’s recovery loses momentum, even as US yields rebound.
• EURUSD stabilizes around 1.0300, holds firm onto recent gains.
• More US inflation data due on Tuesday.

The pair currently trades last at 1.03335.

The previous day high was 1.0364 while the previous day low was 1.0163. The daily 38.2% Fib levels comes at 1.0287, expected to provide support. Similarly, the daily 61.8% fib level is at 1.024, expected to provide support.

The EURUSD pair erased intraday losses after climbing back to the 1.0330 zone. Earlier the pair bottomed at 1.0270 but then the Greenback lost momentum across the board, triggering the rebound.

After an impressive two-day rally, EURUSD stabilized around 1.0300. So far the correction has been limited and the bias continues to point to the upside, despite overbought readings. While under 1.0350/60, gains seem limited.

The Dollar pulled back during the American session even as US yields moved higher. The US 10-year stands at 3.89% and the 2-year at 4.43%. Equity prices in Wall Street are moving off highs.

EURUSD holds onto most of recent gains that followed the release of the October US Consumer Price Index that boosted expectations of a less aggressive Federal Reserve. On Tuesday, the Producer Price Index is due and could impact markets. More signs of a slowdown in inflation could weigh further on the dollar, while the contrary could prompt a steep correction of the dollar.

“The market is now leaning into this week’s slew of scheduled Fed commentary with the risk that the collective tone will remain hawkish. Over the weekend, the Fed’s Waller suggested that “the market seems to have gotten way out in front over this one CPI report”. Strong resistance awaits in the EUR/USD1.03.50/70 area. We see risk that parity will be hit again before this area is breached”, explained analysts at Rabobank.

In the Eurozone, data released on Monday showed a bigger than expected increase in Industrial Production. On Tuesday, data to be released includes Q3 employment, GDP and confidence.

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0327 at the time of writing. Pair opened at 1.0358 and is trading with a change of -0.3 % .

The pair is trading above its 20 Daily moving average @ 0.9946, above its 50 Daily moving average @ 0.9893 , above its 100 Daily moving average @ 1.0032 and below its 200 Daily moving average @ 1.044

The previous day high was 1.0364 while the previous day low was 1.0163. The daily 38.2% Fib levels comes at 1.0287, expected to provide support. Similarly, the daily 61.8% fib level is at 1.024, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.0226, 1.0094, 1.0025
• Pivot resistance is noted at 1.0427, 1.0496, 1.0628

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