EUR/USD
EURUSD is pressuring pivotal support at 1.1040 (Fibo 38.2% of 1.0781/1.1200 bull-leg), after facing several rejections at this level recently.
Tuesday’s action is so far holding in a narrow range, following a strong fall in past two days, with near-term bears hesitating here, due to mixed technical signals on 4-hr and daily chart.
Weaker German inflation in August may add to downside pressure, as well as wide expectations for ECB’s 0.25% rate cut on Thursday however, markets will be closely watching results of US Aug inflation report and signals of a size of Fed rate cut later this month, which will impact the dollar.
Break of 1.1040 pivot would risk test of 1.1000 zone (psychological / 50% retracement of 1.0781/1.1200) and possible extension towards 1.0971 (lower 20-d Bollinger band), which may contain dips.
Strong negative momentum on daily chart works in favor of such scenario, as recently formed 100/200DMA Golden cross adds support, along with rising daily Ichimoku cloud.
The second scenario sees repeated rejection at 1.1040 zone and further signals of formation of a base, although, lift and close above Friday’s peak (1.1065) will be required to confirm, and shift focus to the upside.
Res: 1.1065; 1.1091; 1.1107; 1.1155.
Sup: 1.1026; 1.1000; 1.0971; 1.0935.
Interested in EUR/USD technicals? Check out the key levels
The information contained in this document was obtained from sources believed to be reliable, but its accuracy or completeness cannot be guaranteed. Any opinions expressed herein are in good faith, but are subject to change without notice. No liability accepted whatsoever for any direct or consequential loss arising from the use of this document.
Recommended Content
Editors’ Picks
![EUR/USD stays below 1.1050 as mood sours](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/EURUSD/money-euro-and-dollar-banknotes-17371247_XtraSmall.jpg)
EUR/USD stays below 1.1050 as mood sours
EUR/USD struggles to stage a rebound and trades below 1.1050 on Tuesday. In the absence of high-tier macroeconomic data releases, the negative shift seen in risk mood supports the US Dollar and doesn't allow the pair to gain traction.
![GBP/USD struggles to gather recovery momentum, trades below 1.3100](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/GBPUSD/iStock-689067954_XtraSmall.jpg)
GBP/USD struggles to gather recovery momentum, trades below 1.3100
GBP/USD continues to fluctuate below 1.3100 in the second half of the day on Tuesday. Following a short lasting recovery attempt on UK employment data earlier in the day, the pair finds it difficult to gather momentum amid souring risk mood.
![Gold trades around $2,500 as 50 bps rate cut bets dwindle](https://editorial.fxstreet.com/images/Markets/Commodities/Metals/Gold/safe-investment-gm147322399-17568598_XtraSmall.jpg)
Gold trades around $2,500 as 50 bps rate cut bets dwindle
Gold is exchanging hands at around the $2,500 mark on Tuesday, sticking within its familiar range of the last few weeks as traders assess the outlook for monetary policy and the future path of interest rates in the US, a key performance indicator for Gold.
![How the Fed's rate cuts and weakening job market impact stock trading in 2024](https://editorial.fxstreet.com/images/Macroeconomics/CentralBanks/FED/the-federal-reserve-building-in-washington-dc-usa-67160227_XtraSmall.jpg)
How the Fed's rate cuts and weakening job market impact stock trading in 2024
For the past two years, equity traders have been closely monitoring inflation reports, particularly the Consumer Price Index (CPI), as a key indicator of the Federal Reserve’s approach to managing the economy.
![Dogecoin leads meme coin recovery following positive investor sentiment](https://editorial.fxstreet.com/images/Markets/Currencies/Cryptocurrencies/Dogecoin/Doge_Coin_31_02_XtraSmall.jpg)
Dogecoin leads meme coin recovery following positive investor sentiment
Dogecoin is up more than 8% on Monday, as it's leading the entire meme coin sector on a rebound. The top meme coin could see a massive rally if it completes a key move within a falling wedge.
![Moneta Markets review 2024: All you need to know](https://editorial.fxstreet.com/images/IT/Testing/Review/FXSBadgeCertifiedBackg_XtraSmall.png)
Moneta Markets review 2024: All you need to know
VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.