Ichimoku analysis (4-hour chart)
Tenken-Sen- 1.16330
Kijun-Sen- 1.16147
EURUSD pared most of its loss made the previous week and hits three weeks high at 1.16576. The upbeat market sentiment and declining US treasury yield is putting pressure on the US dollar index. US industrial production data dropped by -1.3% in Sep compared to a forecast of 0.30%. Markets eye US Housing starts and Fed member speech for further direction. It hits an intraday low of 1.15867 and is currently trading around 1.16530.
Technical:
On the higher side, near-term resistance is around 1.1660 and any convincing breach above will drag the pair to the next level 1.17010/1.1760. The pair's immediate support is at 1.1600, break below targets 1.1570/1.1525.
Indicator (4-hour chart)
Directional movement index – Bullish
It is good to sell on rallies around 1.1660-625 with SL around 1.17010 for a TP of 1.1525.
