FxWirePro: EUR/USD runs out of steam ahead of U.S. Fed rate decision as greenback recovers
The EUR /USD pair declined on Wednesday as dollar found strength ahead of an interest rate decision by the U.S. Federal Reserve which is expected to provide clues on monetary policy this year. The Fed is expected to keep…
The EUR /USD pair declined on Wednesday as dollar found strength ahead of an interest rate decision by the U.S. Federal Reserve which is expected to provide clues on monetary policy this year.
The Fed is expected to keep U.S. interest rates unchanged on Wednesday in its first policy decision since President Donald Trump took office, as the central bank awaits greater clarity on his economic policies.
Stronger-than-expected U.S. private payroll data also helped the U.S. dollar strengthen against a basket of major currencies.
U.S. private employers added 246,000 jobs in January, above economists' expectations, a report by a payrolls processor showed on Wednesday.
The ongoing weakness is set to continue for this pair as the resistance level at 1.0875 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 1.0830, a break above this level would expose the pair to next resistance level at 1.0875.
To the downside, immediate support can be seen at 1.0773, a break below at this level will open the door towards next level at 1.0684.
