EUR/USD: The Euro is retreating in the face of the ADP but remains in the range until the Fed

© Reuters. The Euro remains in the range until the Fed

As you might expect, the hesitation continued to dominate the EUR/USD pair throughout the day, the range 1.14-1.1450 have been complied with

The Euro-Dollar started the day higher, reaching the summit with a peak at 1.1450, before correcting within the range, helped in its fall by a statistics to US better-than-expected this afternoon.

The ADP report has in fact a state of 213k jobs in the month of January, much higher than the 180k expected, and the downward revision of the above figures, exceptionally good, has not been sufficient to offset the good news.

Nevertheless, the rise in the Dollar in the face of these figures remained limited, even as the decline of EUR/USD), the investors waiting for the Fed meeting before taking too many processing decisions on the markets.

Although no monetary policy decision is expected, the consensus is moving towards a meeting of the Fed’s dovish tone, at which time we will monitor more particularly the opinion of the central bank about the risks that weigh on the economy, and its comments on the reduction of its balance sheet.

The market is anticipating a Fed prudent, any brand of trust could be seen as a positive surprise, and support the Dollar.

Technical analysis EUR/USD

The range 1.14-1.1450 continues, therefore, to regulate the exchanges. Above 1.1450, the other two resistors is critical to 1.1470 (moving average 100 days), and on the threshold of major psychological 1.15.

A break above 1.15 would be a bullish signal meaningful, which could put an in-line-of-sight to the summit of 9 January, at around 1.1570.

In case of correction under the support of 1.14, with the next supports to consider are 1.1375-80, 1.1350, 1.1290-1.13 and 1.1270 in a first time.

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