Current trend
The EUR/USD pair is correcting within a sideways trend, trading around the level of 1.1426 with low volatility amid the lack of key macroeconomic statistics this week.
The prospects for the actions of the European Central Bank (ECB) are not entirely clear to investors since, at a recent meeting, its head Christine Lagarde made it clear that the regulator did not intend to tighten monetary policy now since the growth of the EU economy was still quite unstable. In a conversation with reporters, the official noted that inflationary risks were high, and the agency was ready to take decisive steps to curb consumer price growth. Italy released December industrial output, which was expected to fall –1.0% MoM and slowed growth to 4.4% from 6.6% YoY, confirming the low pace of economic recovery.
The USD Index moves within a very tight range of around 95.500 in anticipation of the key event of this week – today's publication of data on consumer prices. Analysts expect the rate to rise to 7.3% from 7.0%, and yesterday, Atlanta Federal Reserve Bank President Rafael Bostic said he expected at least three rate hikes this year, and the likelihood of a March adjustment was directly dependent on today's macroeconomic statistics.
Support and resistance
The asset moves within a new sideways range. Technical indicators reversed and gave a signal for local purchases: indicator Alligator's EMA fluctuations range began to expand upwards, and the histogram of the AO oscillator forms ascending bars in the purchase zone.
Resistance levels: 1.1480, 1.1689.
Support levels: 1.1373, 1.1142.
The EUR/USD pair is correcting within a sideways trend, trading around the level of 1.1426 with low volatility amid the lack of key macroeconomic statistics this week.
The prospects for the actions of the European Central Bank (ECB) are not entirely clear to investors since, at a recent meeting, its head Christine Lagarde made it clear that the regulator did not intend to tighten monetary policy now since the growth of the EU economy was still quite unstable. In a conversation with reporters, the official noted that inflationary risks were high, and the agency was ready to take decisive steps to curb consumer price growth. Italy released December industrial output, which was expected to fall –1.0% MoM and slowed growth to 4.4% from 6.6% YoY, confirming the low pace of economic recovery.
The USD Index moves within a very tight range of around 95.500 in anticipation of the key event of this week – today's publication of data on consumer prices. Analysts expect the rate to rise to 7.3% from 7.0%, and yesterday, Atlanta Federal Reserve Bank President Rafael Bostic said he expected at least three rate hikes this year, and the likelihood of a March adjustment was directly dependent on today's macroeconomic statistics.
Support and resistance
The asset moves within a new sideways range. Technical indicators reversed and gave a signal for local purchases: indicator Alligator's EMA fluctuations range began to expand upwards, and the histogram of the AO oscillator forms ascending bars in the purchase zone.
Resistance levels: 1.1480, 1.1689.
Support levels: 1.1373, 1.1142.