FxWirePro- EURUSD Daily outlook
Ichimoku analysis (4 Hour chart)
EURUSD surged more than 70 pips in the European session on broad-based US dollar selling. The upbeat market mood and fast vaccination in Europe are supporting the pair at lower levels. The slight sell-off in US bond yields is dragging the US dollar index further lower. DXY has broken significant support 91.50, a dip till 90.60 likely. US 10-year yield lost more than 14% from temporary top 1.774%.dollar at lower levels. US retail sales data surged to 9.8% in Mar compared to a forecast of 5.8%. The number of people who have filed for unemployment benefits declined to 576k in the previous week compared to an estimate of 703K. US 10- year yield lost more than 9.% this week and is hovering near 1.58%
DXY is trading below 92 levels; markets eye 91.50 for further bearishness. EURUSD hits an intraday low of 1.19504 and is currently trading around 1.19752.
The pair is facing strong support at 1.2000. Any break below confirms minor bearishness, a dip till 1.1950/1.1900 likely. The near-term resistance is around 1.20480. An indicative breach above will take the pair to next level till 1.2100/1.2150. Short-term trend reversal only above 1.2350.
Indicator (Daily chart)
CAM indicator –Bullish
Directional movement index – Bullish
It is good to buy on dips around 1.2000 with SL around 1.1950 for the TP of 1.2100.