EUR/USD Reaches Fresh 2024-High: US Economic Data in Focus
EUR/USD maintained its bullish momentum, hitting a new high for 2024 near 1.1050. The pair is currently consolidating above 1.1000 in the European session on Thursday.
The US economic calendar is packed with key data releases, including the Consumer Price Index (CPI) and core CPI, both of which rose as predicted in July. The positive inflation figures improved the risk mood, dampening demand for the US Dollar (USD).
In the upcoming sessions, investors will closely monitor the release of weekly Initial Jobless Claims and July Retail Sales data. A strong decline in jobless claims and an increase in retail sales could boost the USD, while disappointing figures may lead to concerns about a US economic slowdown.
Furthermore, comments from Federal Reserve officials will be crucial, especially regarding the possibility of a 50 bps rate cut in September. Any indication that such a cut is unlikely could support the USD against its peers.
EUR/USD Technical Analysis
The Relative Strength Index (RSI) indicator on the 4-hour chart suggests a bullish bias for the pair. Immediate support is seen at 1.1000, followed by 1.0960, 1.0940, and 1.0900. On the upside, resistance levels are at 1.1050-1.1060 and 1.1100.
In conclusion, the EUR/USD pair is currently in a consolidation phase with a bullish bias intact. Key US economic data releases and Federal Reserve comments will drive market sentiment and impact the USD’s performance against major currencies. Traders should closely monitor these developments for potential trading opportunities.