The pair gained momentum on board-based US dollar buying Overall bias remains bullish as long as support 0.8780 holds. It hit a high of 0.89180 yesterday and is currently trading around 0.88814.
On November 14, 2024, several key economic indicators revealed mixed results in the U.S. economy. The Producer Price Index (PPI) showed no change month-over-month and a year-over-year increase of 1.8%, which fell short of expectations. Initial jobless claims came in at 221,000, slightly better than the anticipated 225,000 while continuing claims rose to 1.892 million. Market eyes US retail sales data today for further movement.
Technical Analysis
The pair is currently trading above the 34- and 55-EMA on the 4-hour chart.
Near-Term Resistance: Current resistance is at 0.8920. A break above this level could lead to targets at 0.8950/0.9000. The break above 0.87500 confirms that decline from 0.9225 got completed at 0.83750.
Immediate Support: The next support level is at 0.8840. If this level is broken, the pair could drop to 0.8780/0.8720/0.8700/0.8660/0.8600/0.8580, 0.8550, 0.8525, 0.8499, 0.8440, 0.8420, 0.8390, 0.8365 (61.8% Fibonacci projection), or even 0.8340.
Indicator Analysis (4-hour chart)
- CCI (50): Bullish
- Average Directional Movement Index: Bullish
Overall, the trend remains neutral
Trading Recommendation
Consider buying on dips around 0.8845, with a stop loss set at 0.8780, and aiming for a target price of 0.9000.
