Ichimoku analysis (4-hour chart)
Tenken-Sen- 1.07192
Kijun-Sen- 1.06483
EURUSD showed a minor sell-off and trades below 1.0750. US CPI rose 0.40% last month in line with the estimate, below 0.50% the previous month. The yearly CPI declined to 6% in Feb, the smallest annual gain since Sep 2021. It hits an intraday high of 1.07599 and is currently trading around 1.07366.
According to the CME Fed watch tool, the probability of a 25 bpbs rate hike in Mar increased to 81.2% from 30.2% a week ago.
The US 10-year yield recovered more than 3.5% after a major sell-off. The US 10 and 2-year spread narrowed to 63% from -107%.
Technical:
The pair trades above short-term 21 EMA, below 55 EMA, and long-term (200-EMA) in the 4-hour chart. Any break above 1.0760 confirms further bullishness, a jump to 1.0810/1.0850 is possible. The near-term support is around 1.07000. The breach below will drag the pair to 1.0650/1.06000.
Indicator (4-hour chart)
CCI – Bullish
Directional movement index – Bullish
It is good to buy on dips around 1.06 with SL around 1.0600 for a TP of 1.0800.


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