EUR/USD looks firm and regains the 0.9900 mark and above ahead of US data.

EUR/USD regains the smile and advances beyond 0.9900.The dollar appears offered ahead of key US data results.

The single currency manages to set aside Monday’s strong pullback and motivates EUR/USD to pick up pace and reclaim the region above the 0.9900 hurdle on Tuesday.EUR/USD focused on USD dynamics.

EUR/USD partially reverses the deep rejection from last week’s tops near 1.0100 and embarks on a corrective upside north of 0.9900 the figure amidst the renewed offered stance in the dollar and declining US and German yields.

On the latter, the German 10-year bund yields fade two daily gains in a row and challenge the key 2.00% level following the bearish move in their US peers.

Nothing worth mentioning data wise in the euro area, whereas the always-relevant ISM Manufacturing will be in the centre of the debate across the pond seconded by final figures of the S&P Global Manufacturing PMI, JOLTs Job Openings and Construction Spending.

What to look for around EUR

EUR/USD manages to attract some dip buyers and spark a corrective bounce to the region beyond the 0.9900 barrier on Tuesday, all accompanied by the selling mood hitting the dollar.

In the meantime, price action around the European currency is expected to closely follow dollar dynamics, geopolitical concerns and the Fed-ECB divergence. The resurgence of speculation around a potential Fed’s pivot seems to have removed some strength from the latter, however.

Furthermore, the increasing speculation of a potential recession in the region – which looks propped up by dwindling sentiment gauges as well as an incipient slowdown in some fundamentals – adds to the fragile sentiment around the euro in the longer run.

EUR/USD levels to watch

So far, the pair is gaining 0.53% at 0.9929 and faces the next up barrier at 1.0093 (monthly high October 27) followed by 1.0197 (monthly high September 12) and finally 1.0368 (monthly high August 10). On the downside, a breach of 0.9871 (weekly low November 1) would target 0.9704 (weekly low October 21) en route to 0.9631 (monthly low October 13).

EUR/USD consolidates gains above 0.9900 ahead of US ISM

EUR/USD is consolidating the rebound from weekly lows above 0.9900 in the European session. The US dollar licks its wounds amid a better risk profile and falling Treasury yields. Focus shifts to US ISM Manufacturing PMI and Fed decision. 


GBP/USD clings to recovery gains above 1.1500 as risk flows dominate

GBP/USD is sustaining the recovery gains above 1.1500, as risk flows dominate in Tuesday’s European trading hours. The US dollar stays heavy amid a better market mood, tracing the yields lower. US data awaited ahead of the Fed. 


Gold: Upside remains capped at $1,650 amid pre-Fed anxiety

Gold price is holding onto the upswing from weekly lows ahead of the US ISM PMI. The US Dollar drops with Treasury yields, as risk-on market sentiment returns. Gold bulls remain cautious ahead of the all-important Fed decision on Wednesday. 

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