Forex Marketz Daily Forex News – Fully Markets Update
Looking at the headline EUR/USD currency exchange rate, the euro currency is trading around 1.2140 seeing marginal gains during the early Asian trade session on Wednesday.
Yesterday the euro currency, on the above four (4) hour MT 4 price chart broke above a falling wedge chart formation. This is a signal that the correction lower from 1.2350 has come to an end.
The Forex markets are cautious ahead of today’s presidential inauguration which will see President-elect Joe Biden sworn in as the 46th President of the United States of America.
Traders are also waiting on monthly consumer price index (CPI) out of the United Kingdom. Traders are trying to judge if the consumer inflation rate is subdued thanks to the global coronavirus pandemic (Covid-19) or Brexit.
The latest coronavirus numbers out of the United Kingdom show that another 1,610 people have died within 28 days of testing positive for Covid-19. This is the largest number of deaths in Britain in a single day since the pandemic began.
Germany, the largest economy in the Eurozone, has extended their lockdown until 14 February. There are also fears of coronavirus vaccine shortages in New York and Canada.
As far as other economic data is concerned, today, Germany is publishing monthly producer price index (PPI) data as well as the United Kingdom. Canada is releasing their monthly consumer price index and the Bank of Canada will announce monetary policy and rates during the North American trade session. The United States is publishing their NAHB housing price index.
Daily Euro Currency Technical Analysis (EUR/USD)
Looking at the euro currency (EUR) on the above four hour EUR/USD price chart, the correction lower from 1.2350, as mentioned above, has seemingly ended for now. The bulls have once again entered the market.
The break above the falling wedge chart formation occurred as the EUR/USD Forex market found support near a double bottom. The first upside barrier comes into play at 1.2178 with 1.2223 then coming into focus. On the downside the technical layer of support at 1.2075 is the first downside barrier to monitor.
