New orders in the US fell to their lowest level in just over two and a half years in December. S&P Global’s flash US Composite PMI Output Index dropped to 44.6 this month. Both the Fed and the ECB signaled more rate hikes to come. Today’s EUR/USD outlook is bullish as investors digest poor economic data. Over the past 36 months, new orders have hit their lowest level in December, severely slowing US corporate activity, while softer demand notably lowered inflation. –Are you interested to learn more about day trading brokers? Check our detailed guide- S&P Global’s flash US Composite PMI Output Index tracked the manufacturing and services sectors, which dropped to 44.6 this month from a final reading of 46.4 in November. The index stayed below the 50 level, which denotes a private sector contraction for the sixth consecutive month. The Fed’s aggressive rate hikes are hurting the economy. However, the labor market is still strong since employers are reluctant to fire employees after having trouble filling positions during the COVID-19 crisis years. The US central bank increased its policy rate by half a percentage point on Wednesday and forecasted further rises in borrowing costs of 75 basis points by the end of 2023. Fed Chair Jerome Powell stated last week that the Fed will continue to raise interest rates in 2023 despite the economy possibly entering a recession. Although the European Central Bank slowed the rate at which it raised interest rates, it emphasized that further tightening was still to come as it battled rogue inflation. EUR/USD key events today There won’t be any key economic reports from the US or the Eurozone, so the pair might consolidate. Get FREE Forex Signals Now! EUR/USD technical outlook: Bulls look to the channel resistance EUR/USD has been trading in a bullish channel, with the price bouncing off the channel support and resistance levels. Currently, the price is bouncing off the channel support and the 1.0580 key level. It has also pushed back above the 30-SMA, with the RSI above 50, showing bulls are back in control. –Are you interested to learn more about forex options trading? Check our detailed guide- With this in mind, we might conclude that the bullish move will continue until the price reaches the channel resistance. This would mean breaking above the 1.0670 resistance level. The bullish move will only continue if the price stays above 30-SMA. Looking to trade forex now? Invest at eToro! Trade Forex Now! 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Saqib Iqbal Saqib Iqbal Saqib Iqbal is a market analyst, prop fund trader and mentor, serving the industry with his analysis and educational content since 2011. The author has great exposure to different financial markets and institutions. He's well-known for his day trading reviews and multiple timeframe analysis. View All Post By Saqib Iqbal EUR/USD Daily share Read Next GBP/USD Price Halts Upside as Dollar Recovers Ground Olimpiu Tuns 1 month New orders in the US fell to their lowest level in just over two and a half years in December. S&P Global's flash US Composite PMI Output Index dropped to 44.6 this month. Both the Fed and the ECB signaled more rate hikes to come. Today’s EUR/USD outlook is bullish as investors digest poor economic data. Over the past 36 months, new orders have hit their lowest level in December, severely slowing US corporate activity, while softer demand notably lowered inflation. –Are you interested to learn more about day trading brokers? Check our detailed guide- S&P Global's flash US Composite… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.