EUR/USD to remain subdued despite the ongoing recovery

The EUR/USD pair trades near a daily high of 1.1753, confined to the lower end of its latest range, without signs of upcoming advances, Valeria Bednarik, Chief Analyst at FXStreet, reports.

See: EUR/USD to tank towards 1.16 as Europe set to maintain tighter restrictions for longer – MUFG

Modest uptick doesn’t grant additional EUR/USD gains

“European data was mixed, as German Retail Sales were up by 1.2% in February and fell by 9% when compared to a year earlier. The final versions of the March Manufacturing PMIs for the region were upwardly revised, with that for the EU printing at 62.4.”

“The US published Initial Jobless Claims for the week ended March 26, which unexpectedly surged to 719K. Later today, the country will release the final reading of the March Markit Manufacturing PMI and the official ISM Manufacturing PMI, this last foreseen at 61.3 from 60.8 in February.” 

“The 4-hour chart shows that the price is struggling to extend gains beyond a bearish 20 SMA, while the longer moving averages head south well below the current level. Technical indicators advance within negative levels, without strength enough to confirm further gains ahead.”

“Bulls could have some chances if the EUR/USD pair manages to break above 1.1770, the immediate resistance level.”