- The EUR/USD is testing the 1.0850 neighborhood after Wednesday's action fell to the bearish side.
- The Euro couldn't hold onto Tuesday's rally, falls just short of 1.0900.
- Investors will be turning to US labor data on Thursday, EU inflation on Friday.
The Euro (EUR) couldn't extend its recovery rally against the US Dollar (USD) and saw a slight decline for Wednesday.
Pan-EU Industrial Production came in worse than expected early Wednesday, with the month-on-month figure for September printing at -1.1%, a sharp decline from the previous month's 0.6% and dipping past the forecast -0.7%.
The EUR/USD broadly mixed through Wednesday's trading after the data miss, with Euro traders hesitating on further EUR bids.
The annualized Core (less food & energy) US Producer Price Index (PPI) for October came in at 2.4%, missing the expected steady print of 2.7%.
US Retail Sales drop 0.1% in October
US Retail Sales managed to beat the street's median forecast, printing at -0.1% versus the expected -0.3%, but the headline still fell back from last month's 0.9%, which saw an upside revision from 0.8%.
Up next on Thursday will be US Initial Jobless Claims for the week into November 10th. The median market forecast is expecting a slight uptick in the number of jobless benefits seekers, from 217 thousand to 220 thousand.
EUR/USD Technical Outlook
The Euro's Tuesday rally saw the EUR/USD break through the 200-day Simple Moving Average (SMA) at the 1.0800 handle, but bullish momentum got pulled up short on Wednesday and the pair fell just short of the 1.0900 price level.
With EUR/USD bids at risk of getting drawn back into the long-term moving average, the pair sees technical support from the 50-day SMA currently turning bullish from the 1.0625 level.
The immediate barrier for a bullish extension will be late August's swing towards the 1.0950 handle.
EUR/USD Daily Chart
EUR/USD Technical Levels
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
AUD/USD sticks to half-yearly highs of 0.6740 ahead of US NFP
![AUD/USD sticks to half-yearly highs of 0.6740 ahead of US NFP](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/AUDUSD/macro-of-aussie-100-note-8615104_XtraSmall.jpg)
AUD/USD consolidates near a multi-month peak at 0.6740 in the Asian session on Friday as traders keenly await the the US NFP report. The Fed-RBA policy divergence continues to underpin the pair.
USD/JPY falls hard toward 160.50, US NFP data awaited
![USD/JPY falls hard toward 160.50, US NFP data awaited](https://editorial.fxstreet.com/images/Markets/Currencies/Majors/USDJPY/five-thousand-japanese-yen-notes-on-many-dollars-background-30615054_XtraSmall.jpg)
USD/JPY is falling hard toward 160.50 in Asian trading on Friday, having reversed from near 161.40. The pair drops on renewed US Dollar weakness and Japanese verbal intervention, which rescues the Yen. The focus shifts to US jobs report.
Gold price steadily climbs back closer to two-week high, focus remains glued to US NFP
![Gold price steadily climbs back closer to two-week high, focus remains glued to US NFP](https://editorial.fxstreet.com/images/Markets/Commodities/Metals/Gold/stacked-gold-bars-13094022_XtraSmall.jpg)
Gold price extends its consolidative price move during the Asian session on Friday and remains well within the striking distance of the highest level since June 21 touched earlier this week. The recent softer US macro data reaffirmed market bets that the Federal Reserve will begin cutting rates in September.
Is the party over for meme coins?
![Is the party over for meme coins?](https://editorial.fxstreet.com/images/Resources/CryptoWorldSEO_XtraSmall.png)
According to Santiment's data on Thursday, meme coins have experienced steep declines in the past few weeks, following speculation that the crypto market has passed its euphoria phase.
US jobs report preview – Will Nonfarm Payrolls disappoint?
![US jobs report preview – Will Nonfarm Payrolls disappoint?](https://editorial.fxstreet.com/images/Macroeconomics/EconomicIndicator/Employment/NFP/two-businesspeople-shaking-hands-gm470252334-62070868_XtraSmall.jpg)
Will the July Nonfarm Payrolls report disappoint, sending stocks and the US Dollar lower? Let's take a look at what the signal is from the other labor market indicators because forex fundamentals matter for trading.