FxWirePro: EUR/USD neutral in the near-term, scope for downward resumption

• EUR/USD  traded in tight range on Tuesday  as investors ‌assessed escalation in U.S.-Iran tensions.

• A fragile U.S.-Iran truce was shaken by renewed attacks as both sides vied for control of the Strait of Hormuz, keeping oil prices above $110 a barrel..

• Rising oil prices have hit energy-dependent Europe, fueling inflation concerns and raising expectations of 2–3 ECB rate hikes this year, while also pulling equities below pre-war levels.

• On the data front, traders are focused on upcoming U.S. releases, including March international trade figures and April PMI data, which could influence near-term dollar direction and broader risk sentiment.

•In Europe, attention shifts to Wednesday’s Eurozone producer price index, with market expectations pointing to a monthly rise of 3.3% and a 1.8% year-on-year increase. The data will be closely watched for further clues on inflation dynamics in the region.

• Immediate resistance is located at 1.1729( SMA20), any close above will push the pair towards 1.1774(50%fib).

• Strong support is seen at 1.1649(Lower BB) and break below could take the pair towards 1.1625 (38.2%fib).

  Recommendation: Good to sell  around 1.1700 , with stop loss of 1.1800 and target price of 1.1630