EURUSD analysis 30.03.2020

The single currency fell in the euro during the Asian session to witness its rebound to the second session from the top since March 17 against the US dollar on the threshold of developments and economic data expected on Monday by the economies of the euro area and the US economy the largest economy in the world and in the wake of US President Donald Trump extended social restrictions in the United States.

At exactly 04:57 am GMT, the euro against the US dollar fell 0.45% to 1.1082 levels compared to the opening levels at 1.1132 after the pair achieved its lowest level during the trading session at 1.1069, while it achieved the highest at 1.1163, knowing that the pair The trading session started on a falling price gap after it concluded the trading last week at 1.1141 levels.

The markets are looking to the largest euro zone economies, Germany, to disclose inflation data with the release of the first reading of the consumer price index, which may reflect stability at zero levels against 0.4% growth last February, before we witnessed by Spain, the fourth largest economy in the region. Also, the annual reading of the same index, which may reflect slowing growth to 0.6% compared to 0.7% last January.

On the other hand, we have followed a short time ago that US President Donald Trump extended the guidelines for social restrictions in his country until next April 30, as he mentioned that the peak number of deaths due to respiratory diseases may be two weeks away, and it is reported that Trump has already spoken The reopening of the American economy by Easter, but the recent spread of the coronavirus in America has pushed it to extend social restrictions.

Otherwise, investors are currently looking to the housing market for data from the US economy with the release of existing home sales, which may show a 1.8% decline compared to a 5.2% rise in January. It is reported that the US House voted unanimously last Friday in favor of passing the stimulus package Which is estimated at $ 2 trillion to support the largest economy in the world and American families and companies in facing the repercussions of the Corona virus.

We would like to note that the Director-General of the World Health Organization, Tidros Adhanum Gebresus, noted last Wednesday the importance of taking precautionary measures such as preventing gatherings, traveling and tracking and monitoring infected cases, in addition to protecting medical and health personnel, especially in poor countries where the virus is easy to spread, and according to the latest figures issued by the organization The number of HIV-positive cases has increased to more than 638,000, and 30,105 people have died in 202 countries.

Technical analysis

The EURUSD pair confirmed the breach of the 1.1067 level and rushed to approach our awaited target at 1.1170, and some bearish bias appears after touching the resistance of the bullish intraday channel that appears in the image, and it may test the support floor formed above 1.1067 after breaching it beforehand before resuming the bullish bias.

SMA 50 continues to support the price from below, to suggest the continuation of the bullish trend during the upcoming sessions, noting that a break of 1.1170 will push the price to 1.1295 as the next positive stop, taking into account that a break of 1.0966 will stop the positive scenario and press the price to return to the main bearish path from new.

The expected trading range for today is between 1.1000 support and 1.1200 resistance

Expected trend for today: bullish