The EUR/USD weakened yesterday, but the decline in the currency pair remained. limited, as forex traders wait for key US inflation data on Wednesday to choose which direction to push the Euro Dollar higher. short term.
Note that at a few hours of the US CPI, investors take into account a probability 78.8% of a pause in the Fed's rate hike for the next meeting in June, a probability down sharply from more than 95% following Fed meeting last week, in which the central bank suggested that it will take a break next month.
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Investors have indeed set to question their belief of a Fed pause following last Friday's strong NFP report, and continued to to doubt since the beginning of the week, which explains the downward pressure that weighed on the on the EUR/USD.
Against this backdrop, Wednesday's US CPI data will be watched closely, as better-than-expected numbers will likely lower the odds of a Fed pause even further. even though lower-than-expected inflation figures could reinforce the belief that the Fed will not raise rates any further, in favor of the EUR/USD.
> >Stay at on the lookout for CPI data as soon as it is released on the Investing.com economic calendar
Technical thresholds at; watch on the EUR.USD
From a graphical point of view, it should be recalled that the EUR/USD has been showing an uncertain trend in a narrow range for more than a month.
However, the overall trend remains positive. The first important support in case of a correction will be the psychological threshold of 1.09, before the 50 and 100 day moving averages at the end of the day. 1.0860 and 1.0790.
À rising, this year's high at 1.1095 and the psychological threshold of 1.11 form the first resistance to take into account, the key threshold 1.10 being more of a pivot.
EUR/USD: Trend remains uncertain as Forex awaits US CPI
