FxWirePro- EURUSD Daily Outlook

Ichimoku analysis (4-hour chart)

 Tenken-Sen- 1.06958

 Kijun-Sen- 1.06920

EURUSD trades flat ahead of Fed monetary policy. It hit a high of 1.07179 yesterday and is currently trading around 1.06909.

US Fed expected to keep rates unchanged at current levels. Any dovish comments from Fed Markets will push Euro higher.

According to the CME Fed watch tool, the probability of a no-rate hike in Sep increased to 99% from 92% a week ago.

 The US 10-year yield jumped more than 3.5% ahead of Fed monetary policy. The US 10 and 2-year spread widened to -72.70% from -57%.

The pair trades below short-term 21 EMA,  below  55 EMA, and long-term (200-EMA) in the 4-hour chart.  Any break below 1.0630 confirms further bearishness. A decline to 1.0600/1.0500  is possible. The near-term resistance is around 1.0760, any breach above targets is 1.0800/1.0880.

   Indicator (4-hour chart)

   CCI – Bearish

  Directional movement index – Bullish

It is good to sell on rallies around 1.0708-10 with SL around 1.0765 for a TP of 1.0600.