Mixed U.S Data, Sell USD in Recovery !

Stock 659898
Stock 659898

U.S data was mixed today, U.S Producer Price Index (PPI) fell from 0.2% to -0.4% in the previous month, analysts had expected U.S Producer Price Index to remain unchanged 0.2% last month.

U.S PPI data should add more pressure on US dollar, but Initial Jobless claims supported the US dollar a little bit. Jobless Claims fell from 265K to 264K in the previous week, analysts has expected Jobless Claims data to gain to 275k last week…

This development is likely to bring sideways move, so recommendations remain to sell US dollar in recovery, let’s take a quick look on major pairs after US data is released:

EURUSD: Immediate support comes at the 1.1395 levels, stability above this level on an hourly closing basis could mean a return to the 1.4450 levels, a break would open 1.1533 levels.

On the downside, support comes at the 1.1395 levels, a cut will call for a fall towards the 1.1345 levels before the next rise…

GBPUSD: Immediate support comes at the 1.5775 levels, stability above this level on an hourly closing basis closing basis will keep pushing higher towards the 1.5815 levels where a cut will open 1.5850 levels ahead of the 1.5900.

On the downside, support comes at the 1.5775 levels, a cut will open 1.5755/1.5735 levels before the next rise…

USDJPY: Immediate resistance comes at the 119.28 stability below this level means further down towards the 118.50 levels ahead of the 117.75 levels, above 119.28 will open 119.80 before the next fall.

USDINDEX: Resistance comes at the 93.57/93.80 levels, stability below this level will keep the US dollar index under pressure ………..

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