EUR/USD is trading around the 1.1900 threshold, posting its worst weekly close for the year. According to long-term technical readings, the pair is at the brink of a bearish breakout, Valeria Bednarik, Chief Analyst at FXStreet, reports.
See: EUR/USD set to fall to 1.16 in 12 months as the dollar dip is transitory – Danske Bank
Key quotes
“US Federal Reserve chief Jerome Powell will be on the wires multiple times next week, although he is not expected to say something different to what he already did.”
“On Wednesday, Markit will publish the preliminary estimates of its March PMIs. Manufacturing output is foreseen contracting in the EU, while the services sector is expected to have bounced modestly. In the US, both readings are seen below February final figures but within expansion levels.”
“The US will release February Durable Goods Orders, expected to have grown by 1.2% in the month. The country will publish the final version of its Q4 Gross Domestic Product on Thursday. The most relevant European data is the preliminary estimate of March Consumer Confidence, seen deteriorating from -14.8 to -15.”
“The EUR/USD pair bottomed this March at 1.1835, with a steeper decline expected on a break below the latter. 1.1746 is the next relevant support level en route to the 1.1690 price zone.”
“To the upside, the 1.1970/80 price zone provides resistance, followed by the 1.2020 level. Beyond the latter, the pair has room to extend its advance toward the 1.2100 price zone.”
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