Euro Remains on the Defensive against the USD

Looking at the headline EUR/USD currency exchange rate on the above four hour MT 4 price action chart, the euro currency is still on the overall defensive against the safe haven U.S. dollar.

During the early Asian trade session, the EUR/USD Forex market is trading near a multi-day low price near 1.1768.

The greenback is seeing safe haven inflows from a bond rout as well as the ongoing coronavirus pandemic (Covid-19) in the European Union. Economic data has also benefited the greenback against the single currency.

The preliminary reading of the March German harmonized index of consumer prices will be watched by euro traders today. The European Central Bank is worried about reflation as they continue to buy more Eurozone bonds a month.

The monthly Spanish flash consumer price index is also due out as is monthly German trade numbers.  EUR/USD traders will also watch monthly Eurozone consumer confidence data as well as monthly business climate data. The United States is publishing their CB consumer confidence index and monthly house price index data.

Daily Euro Technical Analysis (EUR/USD)

Looking at price action on the above chart, the euro currency is taking a small breather above the key support lining up at 1.1770. The EUR/USD Forex market remains under short term selling pressure Tuesday. 

The short term twenty (20) hour simple moving average is looking bearish as this Forex market trades below the one hundred and two hundred (100,200) simple moving averages. The technical indicators are looking directionless for now but within negative territory.

A break below 1.1770 support layer opens the door for 1.1760 and lower. The first upside barrier to watch lines up at 1.1810. A daily close above this level could change the price direction and bring a corrective bounce higher.

If this happens, the next upside barrier lines up at 1.1850 with the next layer of technical resistance at 1.1890 coming into play.