Forex analytics and overview

EUR/USD Slides Below 1.0800 After ECB Considers Slower Hikes

2023.01.18 09:56

[ad_1]
Alex Boltyan

The pair fell for a third day in a row on Tuesday, briefly dipping below the 1.0800 level, as the euro weakened amid rumors the European Central Bank (ECB) will slow down the pace of rate tightening.

At the time of writing, the EUR/USD pair is trading at the 1.0800 zone, 0.18% below its opening price, as it continues to back away from a nine-month high of 1.0874.

The euro took a hit after reports that the European Central Bank policymakers are considering a slower pace of interest rate hikes after a 50 basis points increase in February.

Still, the remains unable to gather enough momentum, limiting EUR/USD slide, amid expectations the Fed is also slowing the pace of rate hikes. The WIRP tool suggests a 25 bp move is already priced in by investors, with only 10% odds of a 50 bp increase seen at the Feb. 1 meeting.

On the data front, the rate for December was confirmed at 9.6%, measured by the Harmonized Index of Consumer Prices, while survey data offered an optimistic picture of economic sentiment amongst German and Eurozone citizens. On Wednesday, the U.S. will unveil , and figures for December.

EUR/USD Daily Chart

From a technical standpoint, the EUR/USD maintains a bullish perspective according to indicators on the daily chart despite the price making lower lows. The RSI has turned south but remains well into positive ground, while the MACD is printing lower green bars reflecting the dwindling bullish momentum.

If the EUR/USD loses the 1.0770 area, it could find next support levels at 1.0700 and then at the 20-day SMA around 1.0680. On the flip side, if the euro manages to break above the 1.0875 zone, it could pave the way toward the 1.0900 Fibonacci level en route to the 1.0935 zone.

[ad_2]

Source link

Related Articles

Leave a Reply

Back to top button
bitcoin
Bitcoin (BTC) $ 82,312.05 1.10%
ethereum
Ethereum (ETH) $ 1,895.13 1.10%
tether
Tether (USDT) $ 1.00 0.00%
xrp
XRP (XRP) $ 2.30 2.78%
bnb
BNB (BNB) $ 577.85 0.23%
solana
Solana (SOL) $ 124.97 0.42%
usd-coin
USDC (USDC) $ 1.00 0.01%
cardano
Cardano (ADA) $ 0.712633 0.71%
dogecoin
Dogecoin (DOGE) $ 0.168955 0.60%
tron
TRON (TRX) $ 0.223435 0.31%
staked-ether
Lido Staked Ether (STETH) $ 1,893.43 1.18%
pi-network
Pi Network (PI) $ 1.56 8.08%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 81,931.95 1.35%
leo-token
LEO Token (LEO) $ 9.74 0.54%
chainlink
Chainlink (LINK) $ 13.37 1.71%
stellar
Stellar (XLM) $ 0.273629 3.00%
usds
USDS (USDS) $ 0.999764 0.01%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,273.63 1.65%
hedera-hashgraph
Hedera (HBAR) $ 0.189158 2.87%
avalanche-2
Avalanche (AVAX) $ 18.70 1.01%
shiba-inu
Shiba Inu (SHIB) $ 0.000012 2.50%
the-open-network
Toncoin (TON) $ 2.80 3.01%
sui
Sui (SUI) $ 2.19 2.39%
litecoin
Litecoin (LTC) $ 89.43 0.01%
bitcoin-cash
Bitcoin Cash (BCH) $ 328.29 2.53%
mantra-dao
MANTRA (OM) $ 6.24 3.22%
polkadot
Polkadot (DOT) $ 4.04 2.10%
ethena-usde
Ethena USDe (USDE) $ 0.999984 0.05%
weth
WETH (WETH) $ 1,894.35 0.92%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 1.00 0.43%
bitget-token
Bitget Token (BGB) $ 4.22 0.40%
hyperliquid
Hyperliquid (HYPE) $ 13.63 9.02%
whitebit
WhiteBIT Coin (WBT) $ 28.18 1.13%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,014.47 1.25%
monero
Monero (XMR) $ 208.01 0.26%
uniswap
Uniswap (UNI) $ 5.89 0.86%
susds
sUSDS (SUSDS) $ 1.04 0.04%
dai
Dai (DAI) $ 0.999837 0.01%
near
NEAR Protocol (NEAR) $ 2.65 3.28%
aptos
Aptos (APT) $ 5.14 0.21%
pepe
Pepe (PEPE) $ 0.000007 1.39%
ethereum-classic
Ethereum Classic (ETC) $ 18.36 3.80%
internet-computer
Internet Computer (ICP) $ 5.53 1.04%
ondo-finance
Ondo (ONDO) $ 0.841837 0.72%
gatechain-token
Gate (GT) $ 20.50 1.74%
okb
OKB (OKB) $ 41.83 0.10%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 82,194.02 1.14%
aave
Aave (AAVE) $ 164.25 4.43%
mantle
Mantle (MNT) $ 0.726885 2.95%
official-trump
Official Trump (TRUMP) $ 11.67 7.39%