Eurusd Steady Post Eu Gdp

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Eurusd Steady Post Eu Gdp

Eur/Usd Steady Near 1.0700 Post Eu Gdp

EUR/USD is exchanging hands near the 1.0700 handle during the Wednesday session. The recent data has confirmed the forecasts that Q4 GDP growth was 0.1%. Meanwhile, regional industrial production showed a 1.2% increase annually.

The exact trading price of EUR/USD is 1.0694, just a few pips shy of the 1.07 resistance. The D1 chart shows that the EUR/USD is developing under the critical moving averages.

Eur/Usd - Sma Lines Remain Flat

For starters, the 20 SMA is already under the 200 SMA, which is also mostly flat. The 100 SMA also shows no direction near 1.0790, which will also serve as a resistance.

The technical indicators also paint a similar picture; they all need more meaningful direction. Furthermore, the EUR/USD technical indicators on the D1 are also in the oversold territory.

Given all of this, the bears dominate the short-term outlook for EUR/USD. For starters, the 4-hr chart of EUR/USD shows that the current price is under all the SMA lines while the 20 SMA acts as a resistance (1.0750).

The relevant support levels for the short term are 1.0695, 1.0650, and 1.0610. Conversely, the resistance levels are located at 1.0750, followed by 1.0790 and then the 1.0840 handle.

The bottom line is that EUR/USD is struggling as it is close to 1.0700. Experts believe that it is due to the firm footing of the greenback after the release of the inflation numbers.

Ever since the release of CPI, the market mood has turned risk averse as the indicator showed was against forecast. The reading reaffirmed that more waiting period is needed before rate cuts. This news sent the stocks lower while the bond yields and the greenback showed upside.

All of this development pushed the traders to move towards the greenback while the US stocks turned red. For now, the yield on the 10-year US note is around 4.29%, the highest point in the last few years.

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