EUR/USD Price Analysis: Extra pullbacks seen below 1.0800

 


  • EUR/USD fades the initial move north of 1.0900.
  • Recent lows around 1.0800 emerge as the next contention area.

EUR/USD fades the pre-ECB uptick to the 1.0920 zone on Thursday.

In light of the ongoing price action, extra losses in the pair remain in the pipeline in the short-term horizon. Against that, a break below the so far monthly low at 1.0808 (April 14 should pave the way for a quick visit to the 2022 low at 1.0805 (March 7) before the May 2020 low at 1.0766 (May 7).

While below the 200-day SMA, today at 1.1440, the outlook for the pair is expected to remain negative.

Comments

Post a Comment

Popular posts from this blog

When is the Canadian monthly jobs report and how could it affect USD/CAD?

Image
  Canadian employment details overview Statistics Canada is scheduled to publish the monthly employment details for July later this Friday at 12:30 GMT. The Canadian economy is anticipated to have added 20K jobs during the reported month, up sharply from the 43.2K decline reported in June. Meanwhile, the unemployment rate is expected to edge higher to 5.0% in July from the 4.9% previous. Analysts at TD Securities (TDS) are more optimistic about the report and explain: “We look for job growth of 38k in July, driven by a partial rebound for trade services and natural resources after their sharp decline in June. Full-time hiring should lead the increase, while stronger labour force participation should keep unemployment stable at 4.9%. We also expect to see wage growth firm to 6.0% y/y in July, although AHE (Average Hourly Earnings) should slow on a m/m basis.”
Read more

Bailey speech: Will not comment on Conservative leadership candidates' plans

Image
  Bank of England (BoE) Governor Andrew Bailey is delivering his remarks on the policy  outlook  and responding to questions from the press following the bank's decision to hike the policy rate by 50 basis points to 1.75%. Key takeaways "BOE will not comment on Conservative leadership candidates' plans." "BOE has a very clear mandate of price stability." "Consequences of Russia's actions in Ukraine have a serious economic impact." "Political pressures have been very well managed since BOE independence." "I have not abandoned the narrow path analogy for UK policy outlook." "A number of central banks have a similar narrow path to tread." About Andrew Bailey (via bankofengland.co.uk) "Andrew Bailey previously held the role of Deputy Governor, Prudential Regulation and CEO of the PRA from 1 April 2013. While retaining his role as Executive Director of the Bank, Andrew joined the Financial Services Authority in Apr
Read more

EUR/USD Price Analysis: Range bound within 1.0100-1.0260 since July 22

Image
  The EUR/USD is set to finish the week almost flat, gaining 0.05%. The shared currency daily chart is neutral-to-downwards, but the hourly is neutral-to-upwards. EUR/USD Price Analysis: A daily close above 1.0200 could pave the way towards 1.0300; otherwise, it might drop towards 1.0096. The EUR/USD is trading at 1.0220, after hitting a daily high at 1.0254, but later tumbled towards the daily low at 1.0145 on elevated US inflation data. In June, the Personal Consumption Expenditures (PCE) rose by 6.8% YoY, fueling expectations of additional Federal Reserve rate hikes, despite the market's pricing in only 80 bps of tightening. EUR/USD Price Analysis: Technical outlook From a daily chart perspective, the  EUR/USD remains  neutral-to-downward biased, helped by the 20-day EMA lying below the exchange rate at 1.0167. Nevertheless, the EUR/USD, unable to capitalize on an upbeat market mood, and broad US dollar weakness, keeps the shared currency exposed to further selling pressure. If
Read more