EUR/USD takes on 1.13 on mixed/ dovish FOMC minutes

EUR/USD is volatile on mixed minutes while some voters did actually see reason to hike rates soon.

EUR/USD's high was 1.1314 and low 1.1241. The mixed outlook was to be expected given the last hawkish statement that accompanied the decision when the FOMC left the Fed funds rate in the same range between 0.25% to 0.50% was in stark contrast to the back-drop of poor data in some key areas of the economy. 

The market has not been buying the statement that said "Near term risks to economic outlook have diminished," and the dollar has remained soft and the minutes indeed showed that voters agreed to wait for more data to gauge economy while also showing that some Brexit medium and long-term risks exist from abroad. Most notably,  the FOMC were also divided on whether job-gain pace worrisome.

How volatile has EUR/USD been?

2-Standard Deviation Volatility Bandwidth is presently at 26 pips and shrinking on the hourly EUR/USD chart, while the ATR (14) is currently at 15 pips. 2-Standard Deviation Volatility Bandwidth is at 324 pips and expanding on a daily chart. Over the last four weeks, the average movement for the present session has been 15 pips per hour. Further, today’s peak period for volatility was between 14:00-15:00 GMT, which saw an average movement of 25 pips over the previous four week period.

What price levels and patterns have to be considered?

Spot is presently trading at 1.1306, and next resistance can be seen at 1.1310 (Daily High), 1.1324 (Yesterday's High), 1.1343 (Daily Classic R1), 1.1386 (Weekly Classic R3) and 1.1407 (Daily Classic R2). Next support to the downside can be found at 1.1304 (Weekly Classic R2), 1.1279 (Daily Open), 1.1279 (Monthly High), 1.1279 (Weekly High) and 1.1268 (Hourly 20 EMA). Regarding candlestick formations, we can see Piercing Line formation on the 1-hour and a Dark Cloud Cover formation on the 4-hour chart.