EUR/USD technical analysis: Euro hovering around 1.0890 ahead of US Manufacturing PMI

 

 

 

The common currency, on the daily time frame, is trading in a bear trend below the main daily simple moving averages (DSMAs). In the European session, the Eurozone inflation came in mixed, having little effect on EUR/USD. Market participants are now focusing on the ISM Manufacturing PMI at 14:00 GMT this Tuesday. 

 

 

 

EUR/USD is trading below the main SMAs, suggesting a downward bias in the medium term. A break below 1.0890 support can lead to a move down towards 1.0835/20 support zone and 1.0770 level, according to the Technical Confluences Indicator. 

 

 

 

EUR/USD is trading between the 50 and 100 SMAs, suggesting a consolidation in the near term. It will be interesting to see if the market can surpass the 1.0912 resistance. A break of this level can lead to a correction towards 1.0940 and 1.0975 levels, according to the Technical Confluences Indicator.