FxWirePro- EURUSD Daily Outlook

Ichimoku analysis (4-hour chart)

 Tenken-Sen- 1.08770

 Kijun-Sen- 1.08428

EURUSD holds above 1.0950 on board=-based US dollar selling. Euro gained momentum yesterday after the ECB's hawkish rate hike by 25 bpbs to 3.50%, the highest since 2001. It hits an intraday high of  1.09623 and is currently trading around 1.09521.

US retail sales rose 0.30% in May, compared to an estimate of -0.20%. Core sales, excluding automobiles, gasoline, and building materials rose 0.20%.  NY Fed Empire state manufacturing index jumps to 6.6 in June vs -15.1 expected.

Major economic data for the day

Jun 16th, Prelim UoM consumer sentiment (2 PM GMT)

According to the CME Fed watch tool, the probability of a 25 bpbs rate hike in July increased to 71.9% from 52.8% a week ago.

 The US 10-year yield pared some of its gains after mixed US economic data. The US 10 and 2-year spread widened to -94% from -35%.

The pair trades above short-term 21 EMA, 55 EMA, and below long-term (200-EMA) in the 4-hour chart.  Any indicative break above 1.0950 confirms intraday bullishness; a jump to 1.100/1.107 is possible. The near-term support is around 1.08800. The breach below targets 1.0828/1.0800.

   Indicator (4-hour chart)

   CCI – Bullish

  Directional movement index – Bullish

It is good to buy on dips around 1.0900 with SL  around 1.0860 for a TP of 1.100.