FxWirePro- EURUSD Daily Outlook

Ichimoku analysis (4-hour chart)

 Tenken-Sen- 1.05490

 Kijun-Sen- 1.06093

EURUSD showed a minor pullback after the ECB president's speech.ECB President spoke yesterday in WTO Geneva that the central bank would take maximum efforts to tackle inflation. The strong US treasury yields prevent Euro from further gains.  EURUSD hits an intraday high of 1.05632 and is currently trading around 1.05591.

US private sector has added 242000 jobs in Feb up from 119000,  above the estimate of 197000. Market eyes US Initial jobless claims for further direction.

  According to the CME Fed watch tool, the probability of a 50 bpbs rate hike in Mar surged to 76.4% from 31.4% a week ago.

  The US 10-year yield showed a minor pullback and holds above 4% after the hawkish Fed Chairman's Speech. The US 10 and 2-year spread widened to -105.2 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 further bearishness, a dip to 1.0480/1.0435 is possible. The near-term resistance is around 1.0570. The breach above will take the pair to 1.0600/1.0660.

  Indicator (4-hour chart)

  CCI – Bearish

  Directional movement index – Bearish

It is good to sell on rallies around 1.0570 with SL around 1.0620 for a TP of 1.0450.