FxWirePro: EURUSD upside capped by 200-H MA, major weakness below 1.10650

Major support- 1.10650

EURUSD declines once again after a minor jump till 1.11179 yesterday. The outbreak of the coronavirus in China and the centers for Disease Control and Prevention confirmed the first case in the US. Markets eye ECB policy meeting tomorrow for further direction. It hits an intraday low of 1.10755 and is currently trading around 1.10798.

German bund yield is trading weak for the past 1- week and spread between US 10-year and bund yield has widened slightly from 1.98 % points from 2.035 % points.

Technically, near term support is at 1.1065 and any violation below will drag the pair down till 1.100. Major bearishness only beneath 1.100 levels.

 The significant intraday resistance is around 1.1140, any indicative break beyond targets 1.1180/1.1245/1.12885. The decline from 1.14122 will get over at 1.08848 only if pair breaks 1.12850.

 It is good to sell on rallies around 1.1100 with SL around 1.1140 for the TP of 1.100.