Ichimoku analysis (4-hour chart)
Tenken-Sen- 1.09188
Kijun-Sen- 1.08807
EURUSD trades flat after a minor pullback above 1.09500. The pair was one of the best performers this week due to upbeat market sentiment. It hits an intraday high of 1.09733 and is currently trading around 1.09498.
Market eyes US ISM services and ADP employment data for further direction.
According to the CME Fed watch tool, the probability of a no-rate hike in May increased to 57.9% from 52.8% a week ago.
The US 10-year yield lost more than 7% on increasing rate cut hopes. The US 10 and 2-year spread widened to -59% from -51.10%.
The pair trades above short-term 21 EMA, 55 EMA, and long-term (200-EMA) in the 4-hour chart. Any indicative break above 1.0930 confirms intraday bullishness, a jump to 1.100/1.1035 is possible. The near-term support is around 1.0870. The breach below targets 1.0830/1.0780.
Indicator (4-hour chart)
CCI – Bullish
Directional movement index – neutral
It is good to buy on dips around 1.0850 with SL around 1.0800 for a TP of 1.0965.
