The EURUSD pair, currently at 1.08094, is still under pressure around 1.0808, having rebounded from a low of 1.0765.

…
This is a premium post.
[s2If !current_user_can(access_s2member_level4)]Please register for FREE REGISTER to read full post below containing analysis. In case of any error or you think you are not able to read the full post below, please email us at support#nehcap.com [lwa][/s2If] [s2If current_user_can(access_s2member_level1)]

• EUR/USD remains on the defensive around 1.0808, bouncing off the low of 1.0765.

The pair currently trades last at 1.08094.

The previous day high was 1.0842 while the previous day low was 1.0766. The daily 38.2% Fib levels comes at 1.0795, expected to provide support. Similarly, the daily 61.8% fib level is at 1.0813, expected to provide resistance.

The EUR/USD pair reclaims the 1.0800 area but remains under pressure as the pair posts a weekly close in negative territory for the fifth consecutive day. The hawkish stance from the European Central Bank (ECB) fails to boost the Euro against its rivals despite the weaker Eurozone economic data. The major pair currently trades near 1.0808, up 0.10% on the day.

European Central Bank (ECB) President Christine Lagarde stated at the Jackson Hole Symposium that the fight against inflation is not over. She emphasized the importance of central banks providing an economic nominal anchor and ensuring price stability while setting interest rates at restrictive levels for as long as it takes to achieve inflation to the ECB’s medium-term target of 2%. Additionally, ECB Governing Council member Martins Kazaks said that it may be too early to pause interest rate hikes now as a premature halt in the fight against inflation could exert more pressure on the economy in the future.

Across the pond, the Federal Reserve (Fed) Chairman Jerome Powell stated at the Jackson Hole Economic Symposium on Friday, that the central bank is prepared to raise interest rates further, if necessary, and will determine the next rate move based on data. Powell also indicated that the strong economic growth and tight labor market conditions might pave the way for further tightening cycle. He added that if the data do not show indications of softening, additional rate rises would be appropriate. Following the hawkish comments, the Greenback attracted some buyers against the Euro.

Apart from this, Philadelphia Fed President Patrick Harker said that he does not see the need for additional rate hikes at this time and the Fed should hold rates steady and observe the impact of policy on the economy. Meanwhile, Cleveland Fed President Loretta Mester said that GDP and labor market data show that the economy is gaining momentum. She emphasized that the current rates are not restrictive enough to reach the inflation target and a lower growth rate would be essential to moderate inflation.

About the data on Friday, the University of Michigan’s (UoM) Consumer Confidence Index for August fell to 69.5 from 71.6 in July and was revised from the first reading of 71.2. Additionally, The Current Conditions Index dropped from 76.6 to 75.7 (revised from 77.4), while the Expectations Index fell from 68.3 to 65.5 (revised from 67.3).

Market participants will monitor the German Consumer Price Index (CPI), the German Retail Sales, and Eurozone CPI data due later this week. Also, the ECB will release its meeting minutes on Thursday. On the US docket, the US preliminary Gross Domestic Product Annualized (GDP), Core Personal Consumption Expenditures (PCE) Index, and the weekly Jobless Claims will be released. The attention will shift to the Nonfarm Payrolls (NFP) data on Friday. The events will be critical for determining a clear movement for the EUR/USD pair.

Technical Levels: Supports and Resistances

EURUSD currently trading at 1.0808 at the time of writing. Pair opened at 1.0796 and is trading with a change of 0.11 % .

The pair is trading below its 20 Daily moving average @ 1.0919, below its 50 Daily moving average @ 1.0977 , below its 100 Daily moving average @ 1.0928 and above its 200 Daily moving average @ 1.0804

The previous day high was 1.0842 while the previous day low was 1.0766. The daily 38.2% Fib levels comes at 1.0795, expected to provide support. Similarly, the daily 61.8% fib level is at 1.0813, expected to provide resistance.

Note the levels of interest below:

• Pivot support is noted at 1.0761, 1.0725, 1.0685
• Pivot resistance is noted at 1.0836, 1.0877, 1.0912

[/s2If]
Download Nehcap EAWe have two EAs that are operational on our LIVE accounts.

1. EA-FIX: Check out the details here. Download EA-FIX . EA-FIX is a non-grid HFT scalper.
2. EA-GROWTH: High quality low dd EA using trend grids. Download EA_GROWTHJoin Our Telegram Group

Share this:

• Facebook
• X

Like this:

Like Loading...