Ichimoku analysis (4-hour chart)
Tenken-Sen- 1.100
Kijun-Sen- 1.10290
EURUSD pared some of its gains made after Eurozone PMI data. It came at 45.8 in April compared to the previous month's 47.30. Markets eye US Fed and ECB monetary policy for further direction. The pair hits an intraday low of 1.09822 and currently trading around 1.09740.
US ISM manufacturing PMI came at 47.10in Apr compared to a forecast of 46.60.
According to the CME Fed watch tool, the probability of a 25 bpbs rate hike in May increased to 95.40% from 83.9% a day ago.
The US 10-year yield showed a minor pullback after US ISM manufacturing PMI. The US 10 and 2-year spread narrowed to -57.70% from -108%.
The pair trades below short-term 21 EMA, 55 EMA, and above long-term (200-EMA) in the 4-hour chart. Any indicative break above 1.1035 confirms intraday bullishness; a jump to 1.110/1.1165 is possible. The near-term support is around 1.0950. The breach below targets 1.0900/1.08300.
Indicator (4-hour chart)
CCI –Neutral
Directional movement index – neutral
It is good to sell on rallies around 1.1025 with SL around 1.1100 for a TP of 1.0800.


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