EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Buy Entry: Above $1.10197 for a target of $1.10728.
- Immediate Resistance: At $1.1072; a break could lead to further gains.
- Support Levels: Monitor $1.0986 and $1.0956 for potential pullbacks.
EUR/USD is currently trading at $1.10399, showing a slight uptick of 0.11% as the pair hovers near key technical levels.
The pivot point at $1.1073 is the critical level to watch. If the price breaks above this pivot, it could signal further gains. The RSI is at 69, indicating that while the pair is approaching overbought territory, there is still room for upward movement before a potential pullback.
The 50-day Exponential Moving Average (EMA) at $1.0958 is trending upward, supporting the bullish outlook.
Immediate resistance is found at $1.1072, just below the pivot, followed by stronger resistance at $1.1105 and $1.1140.
On the downside, immediate support is at $1.0986, with additional support levels at $1.0956 and $1.0914. A break below these levels could signal a shift in momentum to the downside.
For traders, a buy entry above $1.10197 with a target of $1.10728 could be a strategic move, capturing potential gains as the pair approaches the pivot.
A stop loss at $1.09853 would help manage risk in case of an unexpected downturn.
EUR/USD - Trade Ideas
Entry Price – Buy Above 1.10197
Take Profit – 1.10728
Stop Loss – 1.09853
Risk to Reward – 1: 1.5
Profit & Loss Per Standard Lot = +$531/ -$344
Profit & Loss Per Mini Lot = +$53/ -$34
EUR/USD Price Analysis – Aug 19, 2024
Daily Price Outlook
During the European trading session on Monday, the GBP/USD currency pair surged to a one-month high, trading around the mid-1.2900s.
This upward momentum was supported by diminishing expectations of a Bank of England (BoE) rate cut in September, alongside a weaker US dollar, which has been pressured by dovish Federal Reserve (Fed) expectations.
The pair’s strong performance follows a significant bounce from the 200-day Simple Moving Average (SMA), signaling renewed bullish sentiment among traders.
The British Pound (GBP) remains buoyed by last week’s robust UK economic data, which has dampened hopes for an imminent rate cut by the BoE.
Meanwhile, the US dollar (USD) struggles to gain traction as investors anticipate the Fed’s rate-cutting cycle to begin as early as September.
These factors collectively underpin the GBP/USD pair’s strength, with traders now looking ahead to key events later in the week for further guidance.
GBP/USD Volatility Expected Amidst BoE Rate Cut Speculations and Fed Dovishness
On the BoE front, the Pound Sterling has maintained its strength against major currencies, supported by expectations that the BoE may hold off on cutting rates in September.
This follows stronger-than-expected UK economic data, which suggests resilience in the economy.
However, the market remains cautious as investors await more data, particularly the FOMC meeting minutes and Fed Chair Jerome Powell’s speech at the Jackson Hole Symposium later this week, for clearer direction on the Fed’s policy stance.
Despite the market’s focus on the Fed, the absence of significant UK or US macroeconomic data early in the week has led traders to tread carefully, awaiting more substantial cues before committing to aggressive directional bets.
The GBP/USD pair could experience heightened volatility as the week progresses, particularly in response to global PMIs and any updates on the Fed’s rate-cut path.
Impact of Federal Reserve Rate Cut Expectations and Geopolitical Tensions on GBP/USD
On the US front, the US dollar continues to languish near its lowest levels since January, weighed down by dovish Fed expectations.
The market remains convinced that the Fed will begin cutting rates in September, following recent comments from San Francisco Fed President Mary Daly, who emphasized a gradual approach to easing monetary policy.
This sentiment has kept US Treasury bond yields depressed, further pressuring the USD and benefiting the GBP/USD pair.
Moreover, the prevalent risk-on sentiment in global markets has reduced demand for the safe-haven US dollar, contributing to the GBP’s recent strength.
Traders are now closely monitoring upcoming events, including the FOMC meeting minutes and Fed Chair Powell’s speech, for any signals that could alter the Fed’s policy trajectory and impact the GBP/USD pair’s outlook.
EUR/USD - Technical Analysis
EUR/USD is currently trading at $1.10399, showing a slight uptick of 0.11% as the pair hovers near key technical levels.
The pivot point at $1.1073 is the critical level to watch. If the price breaks above this pivot, it could signal further gains.
The RSI is at 69, indicating that while the pair is approaching overbought territory, there is still room for upward movement before a potential pullback.
The 50-day Exponential Moving Average (EMA) at $1.0958 is trending upward, supporting the bullish outlook.
Immediate resistance is found at $1.1072, just below the pivot, followed by stronger resistance at $1.1105 and $1.1140.
On the downside, immediate support is at $1.0986, with additional support levels at $1.0956 and $1.0914. A break below these levels could signal a shift in momentum to the downside.
For traders, a buy entry above $1.10197 with a target of $1.10728 could be a strategic move, capturing potential gains as the pair approaches the pivot.
A stop loss at $1.09853 would help manage risk in case of an unexpected downturn.
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GBP/USD Price Analysis – Aug 19, 2024
EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- EUR/USD eyes $1.1043 resistance; a break above could push it to $1.1073.
- RSI at 55, indicating potential for further gains before hitting overbought levels.
- Strategy: Buy above $1.0972, targeting $1.10339, with a stop-loss at $1.09376.
EUR/USD is showing signs of a potential bullish breakout, currently trading at $1.09842, up 0.04% for the day.
The pair is hovering just above its pivot point at $1.0972, which is a key level to watch for further upside.
Immediate resistance is seen at $1.1043, and if the pair can close above this level, it could target the next resistance levels at $1.1073 and $1.1105.
The Relative Strength Index (RSI) is moderately positioned at 55, indicating there's room for further upward movement before entering overbought territory.
The 50-day Exponential Moving Average (EMA) at $1.0947 is providing solid support, reinforcing the bullish outlook.
Immediate support levels are at $1.0883 and $1.0845, with an additional safety net at $1.0922. These levels are crucial to maintain the current bullish momentum.
If the price dips below $1.0972, a short-term pullback could be in the cards, but the overall outlook remains positive as long as it holds above the 50-day EMA.
For those considering entering the market, buying above $1.0972 could be a strategic move, targeting a take-profit at $1.10339.
A stop-loss should be placed at $1.09376 to manage potential downside risks. The key area to watch is the $1.1043 resistance, which could determine the sustainability of this bullish trend.
EUR/USD - Trade Ideas
Entry Price – Buy Above 1.09720
Take Profit – 1.10339
Stop Loss – 1.09376
Risk to Reward – 1: 1.8
Profit & Loss Per Standard Lot = +$619/ -$344
Profit & Loss Per Mini Lot = +$61/ -$34
EUR/USD Price Analysis – Aug 16, 2024
Daily Price Outlook
During the European trading session, the EUR/USD currency pair maintained its upward momentum, hovering around the $1.0993 mark and reaching an intra-day high of 1.0993.
This upward movement was primarily driven by a weaker US dollar, which lost ground amid growing expectations that the Federal Reserve (Fed) might start cutting interest rates beginning with its September meeting.
Additionally, risk-on market sentiment, fueled by strong US economic data, was another key factor pressuring the US dollar and contributing to gains in the EUR/USD pair.
However, increasing bets on more ECB rate cuts could undermine the EUR currency and cap gains in the EUR/USD pair.
Impact of Federal Reserve's Dovish Signals on EUR/USD Amid Strong US Data
Despite Thursday's upbeat US macro data, the broad-based US dollar failed to halt its downward trend and edged lower on the day as markets anticipate a Federal Reserve interest rate cut in September.
Federal Reserve officials, including Atlanta Fed President Raphael Bostic and St. Louis Fed President James Bullard, have hinted that a rate cut might be needed soon due to easing inflation pressures and changing economic risks.
This situation has created uncertainty about the dollar's future performance. These developments are likely to influence the EUR/USD pair, potentially weakening the dollar against the euro if the Fed signals a dovish monetary policy stance in response to economic conditions.
On the data front, the US Census Bureau reported a 1% increase in retail sales for July, surpassing expectations of a 0.3% rise.
Excluding autos, sales were up 0.4%, exceeding the anticipated 0.1% gain. Additionally, the US Department of Labor (DOL) disclosed that initial jobless claims for the week ending August 10 totaled 227,000, better than the expected 235,000 and the previous week’s 234,000.
These stronger-than-expected figures underscore the resilience of the US economy and reinforce the view that the labor market remains robust.
ECB Rate Cut Expectations and EUR/USD Short-Term Outlook
On the EUR front, expectations that the European Central Bank (ECB) will cut rates further due to declining inflation in the Eurozone are limiting gains for the EUR/USD pair.
Despite this, the pair remains on track for modest weekly gains, with some buying support near the 1.0990 level on Thursday suggesting caution before expecting deeper losses.
Traders are now focusing on upcoming US macro data, including Building Starts, Housing Permits, and the Preliminary Michigan Consumer Sentiment Index, for short-term trading opportunities.
EUR/USD - Technical Analysis
EUR/USD is showing signs of a potential bullish breakout, currently trading at $1.09842, up 0.04% for the day.
The pair is hovering just above its pivot point at $1.0972, which is a key level to watch for further upside.
Immediate resistance is seen at $1.1043, and if the pair can close above this level, it could target the next resistance levels at $1.1073 and $1.1105.
The Relative Strength Index (RSI) is moderately positioned at 55, indicating there's room for further upward movement before entering overbought territory.
The 50-day Exponential Moving Average (EMA) at $1.0947 is providing solid support, reinforcing the bullish outlook.
Immediate support levels are at $1.0883 and $1.0845, with an additional safety net at $1.0922. These levels are crucial to maintain the current bullish momentum.
If the price dips below $1.0972, a short-term pullback could be in the cards, but the overall outlook remains positive as long as it holds above the 50-day EMA.
For those considering entering the market, buying above $1.0972 could be a strategic move, targeting a take-profit at $1.10339.
A stop-loss should be placed at $1.09376 to manage potential downside risks. The key area to watch is the $1.1043 resistance, which could determine the sustainability of this bullish trend.
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S&P500 (SPX) Price Analysis – Aug 16, 2024
EUR/USD Price Analysis – Aug 14, 2024
Daily Price Outlook
During Wednesday's European trading session, the EUR/USD currency pair reclaimed a seven-month high, trading around 1.1023 level.
This upward momentum was driven by the Euro's strong performance against its major peers, as market participants anticipate further interest rate cuts from the European Central Bank (ECB).
The pair's strength was also supported by the subdued outlook for the US Dollar (USD) amid growing speculation of Federal Reserve rate cuts later this year.
EUR/USD Reaches Seven-Month High on ECB Rate Cut Expectations and Steady Eurozone Growth
The shared currency gained traction during European session, with the EUR/USD pair reaching its highest level in seven months. This surge was fueled by expectations that the ECB will continue its gradual policy-easing cycle, following its first rate cut in June.
Market sentiment has been bolstered by a Reuters poll, which showed that over 80% of respondents expect the ECB to cut rates two more times this year, once in September and again in December.
Meanwhile, the ECB's cautious approach to interest rate cuts stems from concerns about re-accelerating inflation, despite confidence that price pressures will return to the bank’s 2% target by 2025.
The central bank has refrained from committing to a predefined interest-rate cut trajectory, as aggressive expansionary policies could potentially reignite inflation.
On the economic front, Eurostat's revised estimates for Q2 Gross Domestic Product (GDP) confirmed that the Eurozone economy expanded by 0.3%, in line with initial flash estimates and the growth rate recorded in the first quarter.
This steady economic performance further supports the Euro’s recent strength, contributing to the positive sentiment surrounding the EUR/USD pair.
As the ECB navigates its cautious rate-cutting path, the EUR/USD pair may experience volatility, especially as investors digest upcoming economic data and further ECB commentary.
Impact of Federal Reserve Rate Cut Expectations and US CPI Data on EUR/USD
On the US front, the EUR/USD pair continues to benefit from the weakening US Dollar, driven by speculation that the Federal Reserve will start reducing interest rates as early as September.
The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, is hovering near a weekly low at 102.55, reflecting the market's anticipation of Fed rate cuts.
The US Producer Price Index (PPI) report for July, which showed softening price pressures, has reinforced expectations that the Fed might need to ease its monetary policy sooner rather than later.
The headline and core PPI both declined on a monthly and annual basis, suggesting that producers are losing pricing power amid weakening demand conditions.
Traders are now focusing on the upcoming US Consumer Price Index (CPI) data for July, scheduled for release at 12:30 GMT.
The CPI report is expected to show a 0.2% increase in both headline and core inflation on a monthly basis, with annual headline and core CPI projected to have decelerated to 2.9% and 3.2%, respectively.
However, the softer-than-expected CPI reading could further boost expectations for Fed rate cuts, potentially weakening the US Dollar and supporting the EUR/USD pair.
Conversely, if inflation numbers come in hotter than expected, it could dampen speculation of aggressive Fed rate cuts, which might exert downward pressure on the EUR/USD pair. Market participants will closely monitor the CPI data, as it will significantly influence the near-term direction of the EUR/USD pair.
EUR/USD- Technical Analysis
EUR/USD is trading at $1.10062, up slightly by 0.02%, as it hovers near its pivot point at $1.1010.
The pair has shown resilience, holding above key support levels, but it's facing strong resistance ahead. The daily chart indicates that the euro is testing crucial levels that could determine its next move.
Immediate support is found at $1.0963, with further support at $1.0946 and $1.0883. These levels are critical; if the euro slips below $1.0963, it could trigger a more significant decline.
On the upside, resistance is at $1.1043, followed by $1.1073 and $1.1105. A break above the pivot point at $1.1010 could signal a continuation of the recent bullish trend, potentially driving the price toward these higher targets.
The RSI is currently at 74, indicating that the pair is overbought and may be due for a pullback.
However, the 50-day Exponential Moving Average (EMA) at $1.0928 is trending upward, suggesting that the broader trend remains bullish.
This alignment of indicators supports a cautious approach, favoring buying opportunities above key levels while being mindful of the potential for a short-term correction.
For those looking to trade this pair, an entry above $1.09805 with a take profit target at $1.10356 could be strategic.
A stop-loss at $1.09461 would help protect against downside risk. The overall outlook suggests that while EUR/USD has the potential to climb higher, traders should be prepared for volatility as the pair tests these key levels.
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- GBP/USD Price Analysis – Aug 14, 2024
EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Buy Entry: Consider buying above $1.09805 for potential gains toward $1.10356.
- RSI Alert: RSI at 74 signals overbought conditions; watch for potential pullbacks.
- Support at $1.0963: Key support level; a break below could trigger a deeper correction.
EUR/USD is trading at $1.10062, up slightly by 0.02%, as it hovers near its pivot point at $1.1010.
The pair has shown resilience, holding above key support levels, but it's facing strong resistance ahead. The daily chart indicates that the euro is testing crucial levels that could determine its next move.
Immediate support is found at $1.0963, with further support at $1.0946 and $1.0883. These levels are critical; if the euro slips below $1.0963, it could trigger a more significant decline.
On the upside, resistance is at $1.1043, followed by $1.1073 and $1.1105. A break above the pivot point at $1.1010 could signal a continuation of the recent bullish trend, potentially driving the price toward these higher targets.
The RSI is currently at 74, indicating that the pair is overbought and may be due for a pullback.
However, the 50-day Exponential Moving Average (EMA) at $1.0928 is trending upward, suggesting that the broader trend remains bullish.
This alignment of indicators supports a cautious approach, favoring buying opportunities above key levels while being mindful of the potential for a short-term correction.
For those looking to trade this pair, an entry above $1.09805 with a take profit target at $1.10356 could be strategic.
A stop-loss at $1.09461 would help protect against downside risk. The overall outlook suggests that while EUR/USD has the potential to climb higher, traders should be prepared for volatility as the pair tests these key levels.
EUR/USD - Trade Ideas
Entry Price – Buy Above 1.09805
Take Profit – 1.10356
Stop Loss – 1.09461
Risk to Reward – 1: 1.6
Profit & Loss Per Standard Lot = +$551/ -$344
Profit & Loss Per Mini Lot = +$55/ -$34
EUR/USD Price Analysis – Aug 12, 2024
Daily Price Outlook
During the European trading session, the EUR/USD currency pair maintained its upward trend and remained well-bid around 1.0924, reaching an intra-day high of 1.0930.
This rally is largely due to a weaker US dollar, which lost ground amid rising expectations that the Federal Reserve (Fed) will cut interest rates at its next meeting.
Meanwhile, upbeat Eurozone economic growth of 0.3% also supports the EUR currency.
However, the Employment Change, a percentage measure indicating the increase in fresh payrolls, is expected to rise at a slower pace of 0.2% compared to the prior release of 0.3%, which may temper some of the positive sentiment.
Investors are waiting for key US inflation data before making significant moves on silver. This week’s reports include the Producer Price Index (PPI) on Tuesday, the Consumer Price Index (CPI) on Wednesday, and Retail Sales on Thursday.
In the Eurozone, revised Q2 GDP and preliminary Employment Change data will also be released on Wednesday.
These reports will influence Federal Reserve policy expectations, impacting the US dollar and, consequently, EUR/USD pair.
Impact of Eurozone Economic Growth and ECB Policy on EUR/USD
On the EUR front, the Eurozone's economy grew by 0.3% this quarter, matching earlier estimates and the previous quarter's growth. However, Employment Change is expected to slow to 0.2% from 0.3%, suggesting a more modest rise in new jobs.
Despite this, strong GDP figures are positive for the Euro (EUR) as they reduce the probability of further interest rate cuts by the European Central Bank (ECB).
Meanwhile, the ECB has shifted towards normalizing its policies, and investors are keen to see how much further the central bank will lower borrowing rates. Financial markets anticipate two more rate cuts this year.
Recently, Finnish ECB policymaker Olli Rehn highlighted that rate cuts could boost the Eurozone's economy, especially by supporting industrial growth and investment.
Consequently, the positive GDP growth and the expectation of fewer ECB rate cuts are likely to support the shared currency, strengthening the EUR/USD pair.
However, the slower Employment Change might limit gains, causing cautious trading around the EUR/USD.
Impact of Anticipated Fed Rate Cuts and CPI Data on EUR/USD
On the US front, traders are increasingly anticipating a Federal Reserve (Fed) rate cut at the next meeting, which could be beneficial for the EUR/USD pair.
However, the lower interest rates typically weaken the US dollar, making the EUR/USD pair more appealing.
According to the CME FedWatch Tool, there is a near-even chance of a rate cut, with a 49.5% probability of a 0.25% reduction and a 50.5% chance of a 0.50% cut in September.
On the data front, the Consumer Price Index (CPI) for July, due for release on Wednesday, is expected to show a 0.2% increase for both headline and core inflation, following a 0.1% decline in June.
The Producer Price Index (PPI), set for release on Tuesday, is forecast to rise by 0.1% in July, compared to a 0.2% gain in June.
If CPI exceeds expectations, it could impact the Federal Reserve's plans for rate cuts, potentially strengthening the USD and applying downward pressure on the EUR/USD pair.
Therefore, the Fed rate cuts could weaken the USD, making the EUR/USD pair more attractive. However, if CPI data exceeds expectations, it may lead to a stronger US dollar, exerting downward pressure on the EUR/USD pair.
EUR/USD - Technical Analysis
The EUR/USD is currently trading at $1.09204, showing a slight decline of 0.01% as the market remains cautious.
On the 4-hour chart, the pair is moving just below the pivot point at $1.0956, reflecting a neutral to bearish sentiment in the near term.
Immediate resistance is located at $1.0955, with further resistance levels at $1.1010 and $1.1043. These levels could act as targets if the euro gains momentum.
On the downside, immediate support is seen at $1.0867, with subsequent support at $1.0828 and $1.0777, which could be tested if the selling pressure increases.
The 50-day Exponential Moving Average (EMA) is positioned at $1.0891, slightly below the current price, indicating that the pair might find support around this level.
The Relative Strength Index (RSI) is currently at 53, suggesting a neutral stance, with neither overbought nor oversold conditions prevailing.
This RSI reading leaves room for potential upward movement, especially if the euro can maintain its position above the 50 EMA.
Given the current technical setup, a buy limit order at $1.08935 could be a strategic entry point, aiming for a take-profit target at $1.09557. To manage downside risk, a stop-loss should be placed at $1.08653.
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GBP/USD Price Analysis – Aug 12, 2024
EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- EUR/USD trades at $1.09204, just below the pivot point of $1.0956, indicating caution.
- 50-day EMA at $1.0891 provides support; RSI at 53 reflects a neutral market outlook.
- Buy limit at $1.08935 with a target of $1.09557; stop-loss set at $1.08653 to mitigate risk.
The EUR/USD is currently trading at $1.09204, showing a slight decline of 0.01% as the market remains cautious.
On the 4-hour chart, the pair is moving just below the pivot point at $1.0956, reflecting a neutral to bearish sentiment in the near term. Immediate resistance is located at $1.0955, with further resistance levels at $1.1010 and $1.1043.
These levels could act as targets if the euro gains momentum. On the downside, immediate support is seen at $1.0867, with subsequent support at $1.0828 and $1.0777, which could be tested if the selling pressure increases.
The 50-day Exponential Moving Average (EMA) is positioned at $1.0891, slightly below the current price, indicating that the pair might find support around this level.
The Relative Strength Index (RSI) is currently at 53, suggesting a neutral stance, with neither overbought nor oversold conditions prevailing.
This RSI reading leaves room for potential upward movement, especially if the euro can maintain its position above the 50 EMA.
Given the current technical setup, a buy limit order at $1.08935 could be a strategic entry point, aiming for a take-profit target at $1.09557. To manage downside risk, a stop-loss should be placed at $1.08653.
EUR/USD - Trade Ideas
Entry Price – Buy Limit 1.08935
Take Profit – 1.09557
Stop Loss – 1.08653
Risk to Reward – 1: 2
Profit & Loss Per Standard Lot = +$622/ -$282
Profit & Loss Per Mini Lot = +$62/ -$28
EUR/USD Price Analysis – Aug 09, 2024
Daily Price Outlook
During the European trading session, the EUR/USD currency pair failed to break its consolidating phase and remained sideways around the 1.0917 level, consolidating within the range of 1.0911 - 1.0929. However, the ECB is expected to deliver two more rate cuts this year.
This stance undermined the shared currency and contributed to the EUR/USD pair's subdued trend.
On the other hand, expectations for Federal Reserve rate cuts increased significantly following the weak US Nonfarm Payrolls (NFP) report for July, raising concerns about a potential recession.
However, these recession fears were tempered by lower-than-expected Initial Jobless Claims for the week ending August 2, which weakened the US dollar and may limit further losses in the EUR/USD pair.
Impact of Mixed Fed Rate Cut Expectations and Jobless Claims on EUR/USD
On the US front, the US Dollar Index (DXY) is trading around 103.00 after retreating from a high of 103.50.
This shift comes amid growing expectations for Federal Reserve rate cuts, spurred by a weak Nonfarm Payrolls (NFP) report for July, which heightened recession fears and triggered a global equity sell-off.
However, recent data on Initial Jobless Claims for the week ending August 2, which showed 233K claims versus the 240K estimate, suggests the labor market may be stronger than anticipated. This could provide support for the dollar.
Gennadiy Goldberg from TD Securities highlighted that the jobless claims data is positive, indicating that the labor market remains relatively strong despite the weaker payroll report.
According to the CME FedWatch tool, investors are now less certain about the size of potential Fed rate cuts in September, with a 54.5% chance of a 50 basis point cut, down from 74% a week earlier.
Therefore, the US Dollar Index’s pullback and mixed Fed rate cut expectations may lead to a modest rise in EUR/USD, as weaker dollar sentiment offsets potential support from positive jobless claims data.
Impact of ECB Rate Cut Expectations and Cautious Inflation Targets on EUR/USD
Conversely, the ECB is anticipated to implement two more rate cuts this year in response to the struggling Eurozone economy and its aim to achieve the 2% inflation target.
Despite this, ECB officials remain cautious and are not committing to a specific rate-cut schedule, acknowledging the challenging path to reaching their inflation goal.
Finnish ECB policymaker Olli Rehn emphasized that while inflation is easing, attaining the 2% target will be difficult.
He suggested that rate cuts could support the Eurozone’s fragile industrial sector and stimulate investment.
Rehn's remarks underscore the ECB's cautious stance and its focus on providing economic support amid uncertain conditions.
Hence, the expectations of further ECB rate cuts and a cautious approach to inflation could weaken the euro. This may lead to a rise in EUR/USD if the dollar remains under pressure from mixed Fed rate cut expectations and economic uncertainty.
EUR/USD - Technical Analysis
The EUR/USD pair is trading at $1.09202, up a modest 0.05% on the day, reflecting a cautious market sentiment.
The 4-hour chart suggests the pair is struggling to find clear direction, with the price hovering below the pivot point at $1.0956.
The Relative Strength Index (RSI) stands at 52, indicating a neutral market tone where neither the bulls nor bears have a clear advantage.
Immediate resistance is pegged at $1.0955, just below the pivot point. A break above this level could open the door for further gains, with the next resistance levels at $1.1010 and $1.1043.
These are crucial for the pair, as overcoming them could signal a shift towards a more sustained bullish trend.
The 50-day Exponential Moving Average (EMA), currently at $1.0881, serves as a key support, reinforcing the broader upward bias as long as the price remains above this level.
On the downside, immediate support lies at $1.0867, with further support at $1.0828 and $1.0777.
A breach of these levels could indicate a potential reversal in the current trend, inviting bearish momentum into the market.
Given the mixed technical signals, a strategic approach might involve entering a buy position near $1.08935, with a take profit target set at $1.09557 and a stop loss at $1.08653.
This setup offers a balanced risk-reward ratio while capitalizing on the potential for a near-term recovery.
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S&P500 (SPX) Price Analysis – Aug 09, 2024
EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- EUR/USD trades at $1.09202, with resistance at $1.0955 and support at $1.0867.
- RSI at 52 indicates a neutral stance, with potential for upward or downward movement.
- Buy limit at $1.08935 targeting $1.09557, with a stop loss at $1.08653.
The EUR/USD pair is trading at $1.09202, up a modest 0.05% on the day, reflecting a cautious market sentiment.
The 4-hour chart suggests the pair is struggling to find clear direction, with the price hovering below the pivot point at $1.0956.
The Relative Strength Index (RSI) stands at 52, indicating a neutral market tone where neither the bulls nor bears have a clear advantage.
Immediate resistance is pegged at $1.0955, just below the pivot point. A break above this level could open the door for further gains, with the next resistance levels at $1.1010 and $1.1043.
These are crucial for the pair, as overcoming them could signal a shift towards a more sustained bullish trend.
The 50-day Exponential Moving Average (EMA), currently at $1.0881, serves as a key support, reinforcing the broader upward bias as long as the price remains above this level.
On the downside, immediate support lies at $1.0867, with further support at $1.0828 and $1.0777.
A breach of these levels could indicate a potential reversal in the current trend, inviting bearish momentum into the market.
Given the mixed technical signals, a strategic approach might involve entering a buy position near $1.08935, with a take profit target set at $1.09557 and a stop loss at $1.08653.
This setup offers a balanced risk-reward ratio while capitalizing on the potential for a near-term recovery.
EUR/USD - Trade Ideas
Entry Price – Buy Limit 1.08935
Take Profit – 1.09557
Stop Loss – 1.08653
Risk to Reward – 1: 2
Profit & Loss Per Standard Lot = +$622/ -$282
Profit & Loss Per Mini Lot = +$62/ -$28