EUR/USD regained its traction on Thursday and advanced to its highest level in a week near 1.09. As FXStreet’s Eren Sengezer notes, euro bulls face next test at 1.0920.
ECB President Lagarde and FOMC Chairman Powell will speak later in the day
“ECB President Christine Lagarde and FOMC Chairman Powell will appear at the IMF Springs Meetings. Unless Lagarde pushes back against the idea of hiking the policy rate in early-Q3, the euro is likely to preserve its strength.”
“EUR/USD is closing in on 1.0920 resistance, where the Fibonacci 38.2% retracement of the April downtrend and the 100-period SMA on the four-hour chart is located. With a four-hour close above that level, the pair could eye 1.0960 (200-period SMA, Fibonacci 50% retracement) and 1.10 (psychological level) next.”
“1.0860 (Fibonacci 23.6% retracement) aligns as the first support before 1.0830 (50-period SMA). In case the pair drops below the latter, the next bearish target could be seen at 1.08 (psychological level).”
