EURUSD recovered sharply nearly 100 pips from low of 1.11070 on declining US bond yield. US 10 year yield declined more than 3.5% yesterday and hits lowest level since Dec 2017. The spread between US 10 year and German Bund has narrowed to 242 bais point from 258 basis point.President Trump said to reporters that US and China trade talks going very well and next round of talks is set to happen next Wednesday.”Huawei is very dangerous” Trump told reporters at thye White house. The pair hits high of 1.12056 and is currently trading around 1.11870.
The near term resistane is around 1.12240 and any break above will take the pair to next level till 1.12650/1.1300. Any break above 1.13240 confirms further bullishness.
On the lower side, near term support is around 1.1170 any violation will drag the pair till 1.1140/1.1100. Any bearish continuation only below 1.1100.
It is good to buy on dips around 1.1145-50 with SL around 1.110 for TP of 1.12650/1.1300.
