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FxWirePro- EURUSD Daily Outlook

Ichimoku analysis (4-hour chart)

 

 Tenken-Sen- 1.09174

 

 Kijun-Sen- 1.09698

 

EURUSD trades above the 1.0900 level ahead of German ZEW  economic sentiment. It hits a low of   1.08750 yesterday and is currently trading around 1.09208.

 

Major economic data for the day

 

Aug 15th, 2023,  US Core retail sales m/m (12:30 pm GMT)

 

 

                            

According to the CME Fed watch tool, the probability of a no-rate hike in Sep decreased to 88.5% from 85% a week ago.

 

 The US 10-year yield hits multi-week in hopes of a further rate hike by the Fed. The  US 10 and 2-year spread narrowed to -76% from -110%.

 

 

The pair trades below short-term 21 EMA,  below 55 EMA, and long-term (200-EMA) in the 4-hour chart.  Any indicative break below 1.0900 confirms further bearishness: a decline to 1.0830/1.0760  is possible. The near-term resistance is around 1.0950 The breach above targets 1.1000/ 1.1070/1.1100/1.1150.

 

   Indicator (4-hour chart)

 

   CCI – bearish

 

  Directional movement index – Bearish

 

It is good to sell on rallies around 1.0948-50 with SL around 1.1000 for a TP of 1.0800.

 

 

 

 

 

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