The single currency of the European Union region fluctuated in a narrow upward range during the Asian session to see its fourth straight session rebound from its May 30 low of 2017 against the US dollar amid tight economic data by Eurozone economies amid Labor Day holiday there And on the eve of developments and economic data expected Wednesday by the US economy, the largest economy in the world.
At 04:46 GMT, the EURUSD rose 0.02% to 1.1217, compared to the opening at 1.1215, after the pair reached a high of 1.1220 and a low of 1.1211.
US investors are eyeing the release of preliminary data for the labor market, with the reading of the Change in Private Sector Index, which may reflect the acceleration of job creation to 181,000 jobs, up from 129,000 in March. The monthly report of non-agricultural jobs and unemployment rates in addition to the average income per hour for the last month.
The markets are also looking for the final reading of Markit Industrial PMI by the United States, which may reflect the stability of the expansion at 52.4, unchanged from the previous reading of the previous month and the previous reading for March, before the disclosure of the index of the Institute of Industrial Supplies and The contraction may extend to 55.0 versus 55.3 in March.
To the decisions and directions expected by the Federal Open Market Committee after the expiration of its meeting which began yesterday and ends at 6:00 pm GMT amid expectations that monetary policy makers will keep the Federal Reserve rates on short-term reference rates between 2.25% and 2. 50% and work to reduce the reduction of bond buybacks before freezing them by September.
It is also expected to see after the expiration of the Federal Committee meeting and the disclosure of the monetary policy statement and the Committee's decision on the federal funds interest by about half an hour The events of the press conference of the Governor of the Federal Reserve Jerome Powell, who noted earlier that the Committee will be patient about raising interest rates in the coming period And that it would closely watch the economic developments of the world's largest economy and be affected by external challenges.
Technical Analysis
The EUR / USD pair has stabilized above 1.1180, but remains below the most important resistance at 1.1250, keeping the downside scenario intact so far, supported by the negative momentum formed by SMA 50, along with the negativity of Stochastic for positive momentum, Main.
We note that a break of 1.1250 will stop the expected decline and push the price to achieve positive targets starting at 1.1320 and extending to 1.1443.
The trading range for today is expected among the key support at 1.1120 and resistance at 1.1280
The general trend for today is bearish