FxWirePro :EUR/USD trades lower, markets eye FOMC rate decision

Candlestick pattern- Doji

EUR/USD lost more than 0.50% from high of 1.14997 made yesterday. Democrats took the House with 223 seats with 51.3% vote share and Republican retains Senate in US mid term elections. EURUSD declines till 1.14120 and is currently trading around 1.14315.

US 10 year bond yield has jumped more than 2% from low of 3.17%. Any break above 3.25% confirms further bullishness. Markets eye Fed rate decision for further direction. Fed is expected to keep rates unchanged and further rate hike is possible in Dec. The policy divergence between Fed and ECB and rising yield supporting US dollar.

Technically the pair is facing strong resistance at 1.1500 and any break above targets 1.1550/1.16200. It should break above 1.16200 for further bullish continuation.

On the lower side, near term support is around 1.1390 and any break below targets 1.13500/1.1300.

It is good to buy on dips around 1.1430-325 with SL around 1.1390 for the TP of 1.1550.