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Bears are Pressuring Euro and U.S. Dollar Below Support

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EUR/USD is struggling with the bears today, hitting for 1.1800, but sloping down 0.03% to 1.1820. This is the trend going forward into Wednesday. But this pair is still looking at a 3-day downturn for the week as risk appetite turns foul and a bid comes down in anticipation of the Federal Open Market Committee (FOMC) Meeting Minutes.

Global

The pulse of the global market is still fairly negative. Investors are struggling to find a justification for the recent attitude the Fed came down with. Just a few days ago the US ISM Services PMI fell slightly to 60.1, which is under the 63.5 prediction and 64.0 prior.

But if you examine further you’ll see Eurozone Retail Sales rising above the 8.3 prediction to 9.0% YoY in May. Another thing you should take stock of is the German ZEW Survey data which has improved for June. Germany’s total Factory Orders slumped 3.7% in May, however.

We do see some macro-backed confusion, along with COVID-19 resurfacing in the Asia-Pacific area. The market’s caution before the week’s landmark events such as the FOMC Minutes and the meeting of the European Central Bank has had the effect of stoking risk appetite.

Today’s Federal Open Market Committee release will be examined for details over the policymakers’ attitude toward the necessity for inflation constriction. If things don’t go well, this pairing will continue its reduction into next week.

Technical Analysis

This major currency pair derailed its success this week. The downward trend was based on signals from a bearish MACD, which indicates more weakness for a falling support line from May 5th, about 1.1790-85. But the 1.1800 level should offer an intermediate respite. MetaNews experts continue to monitor the developing trend for this major pair, and we anticipate having more reports shortly. EUR/USD is struggling with the bears today, hitting for 1.1800.

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Billy Houghton

Billy Houghton is a top acclaimed and sought-after commodities futures trading expert. The expertise and in-depth level of analysis that is offered by Billy Houghton is what has managed to put him at the stage of being the top ranked author for MetaNews among multiple different categories. Throughout his career, Billy has specifically spent over three decades on Wall Street fine-tuning his skills, which included over two decades at a trading desk. In more recent times, specifically the last decade, Billy has been researching algorithms of AI in futures trading, and believes they are the future of trading.
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