EUR/USD Can Retest The Lower Supports Ahead Of U.S. Inflation Figures
Gregor Horvat | Apr 13, 2021 03:15AM ET
Traders will be watching the US inflation figures today, where higher number can be very positive for the USD as this can mean that FED will have to turn towards hike increase sooner rather than later. In fact, higher CPI may not be a surprise after PPI jumped to a 10-year high.
But technically speaking, EUR/USD is turning bullish but there is room for the pair to correct lower, and maybe the US data will be the catalyst for a deeper retracement. We are tracking bullish pattern after impulsive turn from March low, with first support now seen at 1.1860, while second support is at 1.1792.
If USD is ready to continue much higher after the report then keep an eye on commodity currencies as further upside on US yields can send AUD and CAD even lower against the buck.
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