#EURUSD @ 1.01301 More upside will be displayed by the pair after overstepping the critical hurdle of 1.0150. (Pivot Orderbook analysis)

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• More upside will be displayed by the EUR/USD pair after overstepping the critical hurdle of 1.0150.
• The DXY is expected to witness more offers amid lower estimates for US inflation.
• Eurozone corporate margins are hitting hard led by soaring energy prices.

The pair currently trades last at 1.01301.

The previous day high was 1.0198 while the previous day low was 1.0043. The daily 38.2% Fib levels comes at 1.0139, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.0102, expected to provide support.

The EUR/USD pair is displaying back-and-forth moves after failing to cross the immediate hurdle of 1.0140 from the early Tokyo session. An upside in the asset remains favored amid lower consensus for the US Consumer Price Index (CPI) data. On a broader note, the major has displayed a mild correction after printing a fresh three-week high of 1.0200 on Monday.

The asset has shifted into a bullish trajectory amid a weaker US dollar index (DXY). The DXY is oscillating around 108.20 and is expected to display to deliver a downside move. The lower consensus for the US inflation has forced the market participants to dump the DXY at least for a while. As per the preliminary estimates, the plain-vanilla inflation rate will drop to 8.1% against the prior release of 8.5%. Thanks to the declining gasoline prices and higher interest rates, which have resulted in lower forecasts for the price rise index.

It would be worth watching the reaction of Federal Reserve (Fed) policymakers to declining inflation. No doubt, the ‘hawkish’ stance will continue to remain as usual but the tone will trim for sure as a back-to-back decline in price pressures will bolster the odds of exhaustion.

On the Eurozone front, the economy is worried over sky-rocketing energy prices. The consequences of higher energy bills have extended to the corporate category from households. Firms are facing higher production costs and are unable to pass on the impact to the end consumers. The impact will be visible in the third-quarter earnings season as operating margins will be badly hit due to high production costs.

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0127 at the time of writing. Pair opened at 1.0123 and is trading with a change of 0.04 % .

The pair is trading above its 20 Daily moving average @ 1.0013, above its 50 Daily moving average @ 1.0114 , below its 100 Daily moving average @ 1.034 and below its 200 Daily moving average @ 1.0757

The previous day high was 1.0198 while the previous day low was 1.0043. The daily 38.2% Fib levels comes at 1.0139, expected to provide resistance. Similarly, the daily 61.8% fib level is at 1.0102, expected to provide support.

Note the levels of interest below:

• Pivot support is noted at 1.0044, 0.9966, 0.989
• Pivot resistance is noted at 1.0199, 1.0276, 1.0354

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