The ECB appears to be on track to cut interest rates in June, barring any major surprises, and recent inflation data further strengthens the case for a rate cut ahead. In contrast, the Fed decided to leave interest rates unchanged on Wednesday, citing the FOMC's lack of progress in bringing inflation back to its 2% target.
EUR/USD is trading in a fairly wide range and it is difficult to predict important support and resistance levels. The pair's upside remains limited around 1.082 as the ECB is expected to start lowering key interest rates from its June meeting.
EURUSD broke out of the 1.073 trend after the release of Nonfarm data. And here the pair is approaching the most important resistance level at this time around 1.082. The profit-taking mentality of some investors could help the pair retest around 1,073 before rising strongly again. EURUSD is still accumulating within a fairly narrow rising trendline, which could lead to a sharp decline after reaching the psychological level where the two trendline areas intersect at 1,082.
On the daily chart, EUR/USD appears to be forming a fairly large symmetrical triangle pattern. The lower border of the triangle pattern is drawn from the October bottom at 1.0448 and the upper border is drawn from the December top at around 1.1140. It is possible that the model will be completed in the next 2-3 weeks and from now on, many factors still need to be monitored.
EUR/USD is trading in a fairly wide range and it is difficult to predict important support and resistance levels. The pair's upside remains limited around 1.082 as the ECB is expected to start lowering key interest rates from its June meeting.
EURUSD broke out of the 1.073 trend after the release of Nonfarm data. And here the pair is approaching the most important resistance level at this time around 1.082. The profit-taking mentality of some investors could help the pair retest around 1,073 before rising strongly again. EURUSD is still accumulating within a fairly narrow rising trendline, which could lead to a sharp decline after reaching the psychological level where the two trendline areas intersect at 1,082.
On the daily chart, EUR/USD appears to be forming a fairly large symmetrical triangle pattern. The lower border of the triangle pattern is drawn from the October bottom at 1.0448 and the upper border is drawn from the December top at around 1.1140. It is possible that the model will be completed in the next 2-3 weeks and from now on, many factors still need to be monitored.