FxWirePro- EURUSD Daily Outlook

Ichimoku analysis (4-hour chart)

 Tenken-Sen- 1.05764

 Kijun-Sen- 1.05985

EURUSD pared some of its loss after dismal US durable goods orders. US durable goods orders declined by 4.5% in Jan, slightly weaker than the market forecast of -4%. Core durable orders excluding transportation surged by 0.70% vs. an estimate of 0.10%.  The US dollar index dropped below 105 after a minor pullback. EURUSD hits an intraday high of 1.06033 and is currently trading around 1.05988.

US pending home sales jumped 8.10% Feb, the biggest increase since June 2020.

Major economic data today

US CB consumer confidence 

 US Richmond manufacturing Index

According to the CME Fed watch tool, the probability of a 50 bpbs rate hike in Mar jumped to 25.50% from 18.1% a week ago.

 The US 10-year yield trades flat after a minor pullback. The US 10 and 2-year spread widened to -86.9 basis points from -77% bpbs.

Technical:

The pair is trading below short-term 21 EMA, 55 EMA, and long-term (200-EMA) in the 4-hour chart.  Any break below 1.0530 confirms intraday bearishness; a dip to 1.0500/1.0435 is possible. The near-term resistance is around 1.0620. The breach above will push the pair to  1.0660/1.0700/1.08000/1.08850.

 Indicator (4-hour chart)

 CCI – Bearish

 Directional movement index – Neutral

It is good to sell on rallies around 1.06000 with SL around 1.0660 for a TP of 1.0480.