EUR/USD declined sharply yesterday almost more than 100 pips after Fed chairman Powell testimony in front of congress. Powell was highly optimistic and said that U.S. economy was doing very well and inflation will rise i…
EUR/USD declined sharply yesterday almost more than 100 pips after Fed chairman Powell testimony in front of congress. Powell was highly optimistic and said that U.S. economy was doing very well and inflation will rise in the coming months to 2%. The pair hits intraday low of 1.21989 and is currently trading around 1.22175.
Market awaits US prelim GDP data, Chicago PMI and pending home sales which is to be released today will have mild impact on the pair.
The pair is facing near term resistance of 1.2280 (23.6% fibo) and break above will take the pair till 1.23540 (20- day MA)/1.2435/1.2500. Bullish continuation can be seen above 1.2550.
On the lower side, near term support is around 1.2190 and any violation below will drag the pair to next level till 1.2165/1.2100.
It is good to sell on rallies around 1.2250-55 with SL around 1.2300 for the TP of 1.2165/1.2090.
