FxWirePro: EUR/USD changes short term trend from neutral to bearish
The EUR/USD pair declined on Wednesday as investors cashed in on gains made on the back of the first round of France's presidential elections and a market rethink on euro zone monetary policy. Investors attention turned …
The EUR/USD pair declined on Wednesday as investors cashed in on gains made on the back of the first round of France's presidential elections and a market rethink on euro zone monetary policy.
Investors attention turned to U.S. President Donald Trump's promised announcement on tax cuts, supporting a reheating of the dollar-positive "Trumpflation" trades that dominated the end of last year but have waned since.
The euro fell around a third of a percent against the dollar, weakening to $1.0873 from a high of $1.0951 hit in early European trade.
The ongoing weakness is set to continue for this pair as the resistance level at 1.0954 is likely to act as strong barrier to the bulls and bring a further decline towards lower levels.
To the upside, the immediate resistance can be seen at 1.0910, a break above this level would expose the pair to next resistance level at 1.0954.
To the downside, immediate support can be seen at 1.0863, a break below at this level will open the door towards next level at 1.0800.
