EUR/USD steady in a 20-pip range, below 1.0800

EUR/USD remains steady, moving in a 20-pip range, between 1.0775 and 1.0795, about to end the day practically unchanged from yesterday’s closing price. During all day the pair moved in a price range of less than 50-pips. It failed to hold above 1.0800 while the decline was capped above 1.0760. 

From a fundamental perspective, tomorrow in the Eurozone, the PMI report will be released. In the US, data on Friday will include the PMI and also the durable goods orders report. During the American morning, the vote regarding the repeal of Obamacare could take place. It was recently announced that House Republican leaders postponed the health care reform vote.

EUR/USD Technical outlook 

“The upward strength continued fading in the short term, as in the 4 hours chart, the price is now stuck around a still bullish 20 SMA, whilst technical indicators have turned lower, with the Momentum already below the 100 level and the RSI around 54, while selling interest around 1.0820 remains strong”, said Valeria Bednarik, Chief Analyst at FXstreet. 

She points out that price needs to accelerate below 1.0765 to begin a downward corrective move, while noting that only below 1.0700 bears will retake the lead. “At this point, the pair needs to surpass 1.0828, February monthly high, to confirm a bullish extension towards 1.0870, December high.”