Ichimoku analysis (4-hour chart)
Tenken-Sen- 1.09424
Kijun-Sen- 1.09174
EURUSD breaks significant resistance at 1.100 after dovish Fed. the central bank raised rates by 25 bpbs and promises further small rate hikes in the coming months. It has mentioned, "Inflation has eased somewhat but remains elevated." It hits a high of 1.10326 and is currently trading around 1.10077.
US ISM manufacturing PMI dropped to 47.4 last month, below the estimate of 48. US private payroll growth slowed to 106000 in January compared to a forecast of 176000.
Major economic events for the day- ECB monetary policy
Technical:
The pair is trading above short-term (21EMA, 55 EMA), and long-term (200-EMA) in the 4-hour chart. Any break below 1.0950 confirms intraday bearishness, a dip to 1.0870/1.0800 is possible. The near-term resistance is around 1.1060. The breach above will push the pair to 1.1120/1.1180.
Indicator (4-hour chart)
CCI – Bullish
Directional movement index – Bullish
It is good to buy on dips around 1.09700 with SL around 1.0930 for the TP of 1.114.
