EURUSD Analysis 20.03.2019

The single currency of the European Union region fluctuated in a tight range in the Asian session to see its rebound to its second-highest session since March 4 against the US dollar on the brink of economic developments and data expected Wednesday by the largest eurozone economies. The meeting of the Federal Open Market Committee in Washington.

At 04:58 GMT, the EURUSD dropped 0.05% to 1.1346 compared to the opening at 1.1346, after reaching a low of 1.1343, while reaching a high of 1.1357.

The markets are currently waiting for the euro zone's biggest economy to see the Producer Price Index (PPI), an initial indicator of inflationary pressures, which could reflect a contraction of growth to 0.2% from 0.4% in January. 2.9% compared to 2.6% in the previous annual reading for the month of January.

On the other hand, investors are now eyeing the FOMC meeting in Washington on March 19-20 amid expectations that Fed monetary policy makers will keep interest rates at 2.25% to 2.50% and move forward. Cut back on bond purchases of $ 50 billion a month and market pricing to raise the federal funds rate once this year.

Investors are waiting for Federal Open Market Committee members to reveal their expectations for growth and unemployment as well as inflation and the future of interest rates for the next three years ahead of Fed Chairman Jerome Powell's forthcoming press conference, which recently announced the Fed's intention to be patient and monitor economic data before resuming policy tightening. Cash or not.

Technical Analysis

The EUR / USD pair is floating in a sideways trend as shown in the chart above, and the price needs to breach the 1.1360 level to confirm the resumption of the expected bullishness over intraday basis, where we await the 1.1420 - 1.1443 mainly.

SMA 50 continues to support the price from the bottom while Stochastic is attempting to shed its negative momentum and therefore we will maintain our bullish trend for today unless the 1.1290 level is breached and stability below it.

The trading range for today is expected among the key support at 1.1290 and resistance at 1.1440

The general trend for today is bullish