FxWirePro: EUR/USD trades higher on sightly weak US PCE data, good to sell on rallies
USD has pared some of its gains made after weaker than expected US Core PCE inflation data.The US core PCE decelerated to 1.9% in Jun compared to forecast of 2%.Markets eye US fed meeting which is to be released tomorrow…
USD has pared some of its gains made after weaker than expected US Core PCE inflation data.The US core PCE decelerated to 1.9% in Jun compared to forecast of 2%.Markets eye US fed meeting which is to be released tomorrow for further direction. Fed is expected to keep interest rates unchanged and any more hawkish comments will drag the pair down. Eurozone flash CPI data came at 1.1% compared to forecast of 1% which is also supporting prices.
EUR/USD’s near term support is around 1.1600 and any convincing break below will drag the pair to next level till 1.1500.Any break below 1.1500 confirms minor weakness and decline till 1.1400/1.13600 is likely.
On the higher side, near term resistance is around 1.1750 (trend line and 55- day EMA) and any break above will take the pair to next level till 1.1800/1.18515.
It is good to sell on rallies around 1.1735-40 with SL around 1.1790 for the TP of 1.1500.
