EUR/USD remains above 1.0500 despite CPI

Note: This section contains information in English only.
Source: Dukascopy Bank SA


On Wednesday, the United States Labour Statistics Bureau released the monthly US Consumer Price Index and Core Consumer Price Index data for April. The markets expected the data for clues in regards to the effectiveness of the first US Federal Reserve Rate hike done on March 15. At 12:30 GMT, the CPI and Core CPI came in at 0.3% and 0.6% instead of market forecast 0.2% and 0.4%. The event caused a surge of the US Dollar and drop of all assets traded against it, as it revealed the current Fed policy had failed to decrease inflation.

The EUR/USD reacted to the news with an immediate drop of almost 50 base points or 0.45%. Meanwhile, on a larger scale, the rate remained above the 1.0500 mark and the recent low level zone below it.

In regards to the near term future, previous forecasts remain intact, as despite the increased volatility during the CPI, by 13:30 GMT, the currency pair had not revealed its direction.

If the pair declines, the 1.0500 is expected to act as support, before the last week's low level zone at 1.0472/1.0492 is reached. In addition, take into account the weekly simple pivot point at 1.0471. Further below, the weekly S2 simple pivot point is located at 1.0397 and strengthens the 1.0400 level.

On the other hand, a recovery of the Euro against the USD would have to pass the 1.0580 level and the 1.0600 mark, before approaching the post-Federal Reserve rate hike high level zone at 1.0626/1.0642 and the weekly R1 simple pivot point. Meanwhile, note that the pair was ignoring the 50, 100 and 200-hour simple moving averages and the weekly simple pivot point at 1.0535/1.0557
Back to articles

Actual Topics

Wed, 11 May 2022 13:25:33 GMT

GBP/USD reaches below 1.2300

At mid-day on Wednesday, the US Consumer Price Index caused a drop of the GBP/USD, which shortly reached below the 1.2300 mark. However, the rate almost immediately recovered to trade back near the 1.2350 level. If the pair clearly declines below 1.2300 the pair could find support in the 2020 July low level at 1.2260. Further below, support is highly likely

Wed, 11 May 2022 08:25:59 GMT

USD/CAD breaks ascending pattern

The 1.3050 level acted as resistance on Tuesday to the USD/CAD currency pair. The resistance was enough to force the rate into sideways trading. On Wednesday morning, the rate passed below the lower trend line of the channel up pattern, the 50-hour simple moving average and the 1.3000 mark. A continuation of the decline of the US Dollar against the Loonie

Subscribe to "Fundamental Analysis" feed

Subscrever
Para saber mais sobre a plataforma de negociação Dukascopy Bank CFD / Forex, SWFX e outras informações relacionadas com negociação,
por favor entre em contato conosco ou faça um pedido de retorno de chamada.
Para obter mais informações sobre uma potencial cooperação,
ligue-nos ou faça-nos um pedido para ser contactado.
Para saber mais sobre as opções binárias do Dukascopy Bank / Plataforma de negociação Forex, SWFX e outras informações relacionadas com Trading,
ligue-nos ou faça-nos um pedido para ser contactado.
Para saber mais sobre a plataforma de negociação Dukascopy Bank CFD / Forex, SWFX e outras informações relacionadas com negociação,
por favor entre em contato conosco ou faça um pedido de retorno de chamada.
Para saber mais sobre a plataforma de Trading / Trading de Crypto/ CFD / SWFX e outras informações relacionadas à negociação,
ligue-nos ou faça-nos uma pedido para ser contactado.
Para saber mais sobre o programa de Introdutor de Negócios e outras informações relacionadas à negociação,
ligue-nos ou faça-nos uma pedido para ser contactado.
Para obter mais informações sobre uma potencial cooperação,
ligue-nos ou faça-nos um pedido para ser contactado.