Sunday, 10 April 2016

EUR/USD in weekly perspective

The current consolidation  chapter might be closed in the forthcoming days. EUR/USD is welded in a narrow rage and the technical outlook is neutral. Usually breakouts from these ranges are steep and volatile.
From the macroeconomic viewpoint, the  market participant will pay more attention to US data, as the week ahead is full of macro news. We are going to witness several Fed speeches, jobless claim report, along with CPI numbers.

EU macro data will not offer much. On Tuesday will be released the German inflation figures for March (CPI and HICP indices), which will most likely confirm the expectations for increase in inflation. Wednesday will bring the French CPIs for March, followed by euro zone industrial production data for February. The euro zone's CPI for March are due on Thursday.  

The main support for the current bullish momentum is located around $1.1330, where pinned previous peaks. While staying above, the outlook remains bullish with marking next target at $1.1450, despite the consolidation from the few past days.If the support slumps, the euro eventually will plunge to $1.13 or lower, with another major bullish support at $1.12.

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