FxWirePro- EURUSD Daily outlook

Ichimoku analysis (4 Hour chart)

Tenken-Sen- 1.18940

Kijun-Sen- 1.18326

EURUSD is trading below after hitting two weeks high at 1.19271. The slight recovery in US bond yield and demand for safe-haven assets is supporting the US dollar. The US 10-year yield jumped more than 4% from a low of 1.614%. The increase in the number of new coronavirus cases in Germany, Spain, France and the delay in vaccine rollout is putting pressure on Euro. US Producer price index for Mar surged to 1% compared to a forecast of 0.5%.  

DXY recovered slightly from a low of 92.02. Significant bearishness only if it breaks below 91.80. EURUSD hits an intraday low of 1.186172 and is currently trading around 1.187886.

 Technical:

 The pair is facing strong support at 1.18600. Any break below confirms minor bearishness, a dip till 1.1800/1.1770 likely. The near-term resistance is around 1.19280 (127.2% fib).  An indicative breach above will take the pair to next level till 1.1945/ 1.2000/1.2048. Short-term trend reversal only above 1.2000.

Indicator (4 Hour chart)

CAM indicator –Neutral

Directional movement index – Bullish

It is good to buy on dips around 1.18500 with SL around 1.18000 for the TP of 1.2000.