Forex Marketz Daily Forex News – Fully Markets Update
The euro currency has turned lower against the U.S. dollar during the early Asian trade session on Wednesday. The benchmark EUR/USD currency exchange rate had hit an 11 week high price point on Tuesday as risk-on sentiment was in play.
The almighty greenback had fallen against the euro currency, overnight, to levels not seen since February. Treasury yields were taking a bid and moving lower giving the single currency an advantage over the dollar.
Today, Forex traders will be watching the monthly core and headline consumer price index (CPI) out of the United States. Germany is also releasing their final consumer price index data, as well. Germany’s harmonized consumer price index is expected to come in at 2.1 percent annually for the month.
The U.S. consumer price index is forecasted to print at 3.6 percent after gaining 2.6 percent the month prior. Inflation is worrying currency traders. The United Kingdom will release monthly and first look quarterly gross domestic product (GDP) data.
Also helping the safe haven U.S. dollar (USD) was coronavirus vaccine news as well as tensions in the Middle East. China’s Sinovac Covid-19 vaccine seems to be effective against all variants. However, Johnson & Johnson’s vaccine has caused some blood clotting issues.
Daily Euro Currency Technical Analysis (EUR/USD)
Looking at the above daily EUR/USD MT 4 price action chart, the euro has moved back higher after falling at the start of the week.
Price action looks constructive for the EUR/USD bulls, at least for the near-term. This Forex market is trading above the fifty, one hundred and two hundred (50, 100, 200) day simple moving averages. The technical indicators also look positive.
The first upside barrier lines up at 1.22 with a daily close above this level opening the door to challenge 1.2243 technical resistance level next.
The key downside barrier to watch lines up at the 200 day simple moving average in play at 1.1947. While above this level, near-term price action could still favor the EUR/USD buyers.
