EUR/USD remains stable around 1.1050 in the European session on Wednesday, with a technical outlook indicating a bearish bias for the pair. The US economic calendar will spotlight JOLTS Job Openings data, with expectations of 8.1 million job openings. This data could impact the USD’s performance in the market and influence EUR/USD movement.
The recent negative shift in market sentiment has supported the US Dollar against major currencies, hindering EUR/USD from a rebound. Additionally, US manufacturing sector activity continued to contract in August, albeit at a slightly slower pace than in July.
Looking ahead, the JOLTS Job Openings data release could provide an additional boost to the USD if the number exceeds expectations, pushing EUR/USD lower. Conversely, a reading below 8 million job openings could limit the USD’s upside potential.
US stock index futures are currently down between 0.2% and 0.6%, which could further impact EUR/USD depending on Wall Street’s performance at the opening.
EUR/USD Technical Analysis
The Relative Strength Index (RSI) on the 4-hour chart indicates a lack of buyer interest, with potential support levels at 1.1040, 1.1000, and 1.0975. Resistance levels include the 100-period Simple Moving Average at 1.1075, followed by 1.1100-1.1110 and 1.1160.
Overall, the current market conditions suggest a cautious approach towards EUR/USD trading, considering the upcoming data releases and market sentiment.
Euro FAQs
For those interested in understanding more about the Euro, here are some frequently asked questions:
- What is the Euro and its significance in the global economy?
- How does the European Central Bank influence the Euro?
- What economic indicators impact the Euro’s value?
- Why is the Trade Balance important for the Euro?
Understanding these aspects can provide insights into the factors influencing EUR/USD movements and the broader forex market.