The EURUSD currency pair is experiencing an upward movement at the rate of 1.07332, with market participants adjusting their positions in anticipation of the Federal Reserve’s actions.

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• EUR/USD breaking to the upside as markets position ahead of the Fed.

The pair currently trades last at 1.07332.

The previous day high was 1.0718 while the previous day low was 1.0675. The daily 38.2% Fib levels comes at 1.0691, expected to provide support. Similarly, the daily 61.8% fib level is at 1.0702, expected to provide support.

The EUR/USD is stepping higher in the run-up to the Federal Reserve’s (Fed) showing today, reaching for the 1.0750 level. The US Dollar (USD) has been giving up ground to the Euro (EUR) throughout the Wednesday trading session as investors brace for the Fed’s upcoming rate call and updated ‘dot plot’ projections.

Read more: Interest rates to remain unchanged as end of tightening cycle looms

Markets are broadly expecting the Fed to hold steady on their benchmark interest rate band at 5.25% – 5.5%, but the key to today’s Fed action will be their updated Summary of Economic Projections (SEP). Investors are still currently mixed on their Fed projections for the rest of the year, with 40% of market participants still expecting one more rate hike this year.

Elsewhere on the docket, the President of the European Central Bank (ECB) Christine Lagarde is slated to give a speech during the Thursday market session. ECB President Lagarde will be delivering speaking notes at the Mediterranean meetings being held in Marseilles.

Friday will also bring Purchasing Manager Index (PMI) data for both the Eurozone and the US, capping off an action-packed midweek.

PMIs for the pan-European economic zone are expected to come in mixed, with the composite figure expected to decline slightly from 46.7 to 46.5.

On the US side, PMIs are forecast to tick upwards, albeit slightly. US manufacturing PMIs are forecast to tick from 47.9 to 48.0, and services is seen giving a similar improvement from 50.5 to 50.5.

The EUR/USD pair is bouncing for Wednesday’s pre-Fed action, climbing over the 200-hour Simple Moving Average (SMA) to claim territory north of the 1.0730 level. The pair kicked off Wednesday’s trading session near 1.0680 and has done nothing but ramp up as Greenback traders hold their orders.

On the daily candlesticks, the EUR/USD has been gaining some bullish momentum from the recent bottom near 1.0650, but the pair is set for a faceoff with a descending trendline from July’s last swing high near 1.1250. Continued upside pressure will also have to contend with the 200-day SMA, currently floating just beneath 1.0850.

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0737 at the time of writing. Pair opened at 1.068 and is trading with a change of 0.53 % .

The pair remains strongly bearish on the daily time frame. It trades below the 20 SMA @ 1.0763, 50 SMA 1.0918, 100 SMA @ 1.0889 and 200 SMA @ 1.0829.

The previous day high was 1.0718 while the previous day low was 1.0675. The daily 38.2% Fib levels comes at 1.0691, expected to provide support. Similarly, the daily 61.8% fib level is at 1.0702, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.0664, 1.0648, 1.0621
• Pivot resistance is noted at 1.0707, 1.0734, 1.075

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