FxWirePro- EURUSD Daily Outlook

Ichimoku analysis (8-hour chart)

 Tenken-Sen- 1.09181

 Kijun-Sen- 1.08966

EURUSD trades higher for the third consecutive days on weak US inflation. US CPI m/m came at 0.1% in Mar, below the estimate of 0.20%. The yearly inflation rose 5% last month, compared to a forecast of 5.1%. It hits an intraday high of 1.10248 and is currently trading around 1.10190.

According to the CME Fed watch tool, the probability of a no-rate hike in May increased to 31% from 27.1% a week ago.

 The US 10-year yield trades flat despite dovish FOMC meeting minutes. The US 10 and 2-year spread narrowed to -57.3% from -108%.

The pair trades above short-term 21 EMA, above 55 EMA, and long-term (200-EMA) in the 4-hour chart.  Any indicative break above 1.1035 confirms intraday bullishness, a jump to 1.1070/1.110  is possible. The near-term support is around 1.100. The breach below targets 1.0930/1.0900/1.0830.

 Indicator (4-hour chart)

  CCI –  Neutral

  Directional movement index – neutral

It is good to sell on rallies around 1.10200 with SL around 1.1050 for a TP of 1.0930/1.0900.