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Wiiso
May 11, 2022 12:07 PM

EURUSD Could see some upside by inflation printing softly Long

Euro Fx/U.S. DollarFXCM

Description

This pair is positioning in a key area.
The price is at important demand zone. The price is having problems to break below this zone.

*The price is below a 1hr trendline right before the upcoming cpi catalyst

The CPI (consumer price index) will be key for what direction the market will take. It is important to keep in mind that markets are already expecting inflation to print softer in April, by quite a bit actually with consensus expecting headline to slow to 8.1% from 8.5% and Core expected to slow to 6.0% from 6.5%

Order cancelled

The price did not give us any good trade opportunity to the upside which is great, but it did to the downside. Remember do not try to guess where price is going, have a plan and be reactive.
Comments
UnknownUnicorn11356665
why you buy, when the news is making the usd stronger?
Wiiso
@VHRTFX, Good question, Definitely the USD IS GETTING STRONGER BUT THE REAL QUESTION IS Will the catalyst be strong enough to see some more downside in short term? The DXY is over extended and the EURUSD is holding on an important demand zone while the DXY just attempted to break above giving us a clear sign that the movement in DXY was just doing a liquidity pool.
ASFAND_GOLD
@enriluis01, thats a very good answer . that was just a liquidity hunt, inflation isnt the main scenario, over extended DOLLAR is.
Wiiso
@ASFAND_GOLD, Thank you
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