EURUSD: Under Heavy Pressure Ahead FOMC Meeting Minutes
As long as 1.1045 resistance holds on a daily closing basis. The EURUSD remains on the downside to 1.0990 levels. A halt is likely, it may test 1.1045 before attempts to break lower. Anyway; Below 1.0990 aims the 1.0930 level, further down, support comes in the 1.0890 level.
On the upside, immediate resistance comes at 1.1045 levels. Above 1.1045 sees recovery threats to 1.1085 levels where another fall is likely. However; A sustained break above 1.1085 will extend the corrective recovery to 1.1140/1.1170 levels.
In conclusion: The EURUSD sees downside threats below 1.1045 levels. Above 1.1045 sees recovery threats to 1.1085 levels…
Support:1.0990, 1.0930, 1.2890, 1.2840, 1.0780
Resistance: 1.1045, 1.1085, 1.1141, 1.1170, 1.1228
Weekly Forecast: As long as 1.1117 resistance holds on a weekly closing basis. The EURUSD remains on the downside to 1.1018/1.0957 levels ahead of 1.0880/1.0800 levels. Above 1.1117 sees recovery threats to 1.1187/1.1238 levels ahead of 1.1275 levels.
Key data/events which may affect EURUSD today:
- The Federal Reserve will announce its monetary policy decision and publish data on its economic projections at 19:00 GMT. The Fed is expected to keep the interest rates on hold. The central bank will also release its latest forecasts for economic growth. This will be the first Fed meeting in 2020. The Fed cut rates three times in 2019. How did that affect the US economy? Will there be a possibility of a rate cut in 2020? The Fed will hold a press conference at 19:30 GMT.
How the Fed meeting will affect EURUSD today?
The pair is under heavy pressure. The weekly suggests a drop to 1.0950 levels. If seen the pair may bottom around that level before attempts to any rebound to the upside. A hawkish view from the Fed will increase the risk to 1.0950 levels while a dovish view will suggest possible recovery. Any recovery will be limited below 1.1117 levels (weekly resistance). Immediate resistance at 1.1045 levels.