EUR/USD corrected again Wednesday, moving back until a hollow at; 1.0850, accentuating the movement started after the 3-month high marked à 1.0965 on Tuesday.
Recall that some economic publications supported the Dollar, while the Euro suffered for its part. some bad news.
As for the US statistics, jobless claims came out well below expectations, while the University’s consumer confidence index came in well below expectations. of Michigan has declined less than expected, while showing a surprise increase in inflation expectations.
Alongside European, we note that Nagel, member of the ECB, affirmed that that rates are close to their final level, and that they will remain at that level. their current level for now, reducing the likelihood of further rate hikes.
Furthermore, the euro zone investor confidence index fell. à -17.9 points, against -17.6 points anticipated, which also constituted a negative factor for the Euro.
Regarding the day of this Thursday , forex traders interested in EUR/USD will need to closely monitor the European preliminary PMI indices in the morning, then the Minutes of the latest ECB meeting early in the afternoon.
These two events could significantly influence expectations for the next decisions of the ECB, and impact EUR/USD.
Consult in real time the result of all important statistics for EUR/USD on the Investing.com economic calendar
Also note that American operators will be few in number due to the public holiday. of Thanksgiving.
Technical thresholds at monitor on EUR/USD
From a graphical point of view, we note that the decline in EUR/USD in recent days is currently insufficient to call into question the underlying upward trend.
The currency pair also has significant support close to current prices, with support at 1.0830, and the zone of 1.0791 – 1.0808, formed by the 100 and 200 day moving averages.
Under this last zone, we can consider that the profile of the EUR /USD becomes more corrective. Finally, the rise, the recent peak at 1.0965 and the major psychological threshold of 1.10 will be the first potential upside targets.
Is the EUR/USD correction over? This will depend on the PMI indices