Bullish Euro data and Hawkish Fedspeak sends EU higher

Hello traders.. Ever Since April 16th we can observe a pullback on Eurusd. We recieved bullish fedspeak on April 16th, as Chairman Powell mentioned the recent interest rate hike intervention is not having it's intended affect. The jobs market is hot but the real issue is 2 consecutive months of increasing inflation. This issue may cause interest rates to remain high or even increase in due time to slow down the economy. We've seen a slight change in sentiment as the Dollar index has been ranging and selling off since this announcement. Possibly because the market is pricing in another (Risk-On) Interest rate increase by the Fed at the next meeting. This is causing market participants to put money into other asset classes that may offer a better return. It's not going into gold since gold is down 3% since the statement.. gold is a Risk-Off and safe haven asset class and one may expect this. It is neither going into Oil, as Oil is down 3.07% since the statement. Definitely not the stock indices, Nasdaq for example is down 2.23% since the statement. Maybe some of it is going into Bonds as the 10Yr Yield is down .5% since the statement. More has gone into Bitcoin, as it is up 2.74% since the statement. Moreso, the monies that have been flowing out of the USD since the announcement appear to be going Risk-On currencies. The Aud/Usd pair is up 1.45% since the announcement.. The NZD/USD pair is up .90% since the announcement.. Now we sort of see where the flow is going. Moving forward with EU, it is possible we may continue to pullback with this current Risk-On currencies market sentiment. This next daily candle is contending with the new daily resistance level, 1.07. These are my favorite levels in the short term here.

Comment:

Hello traders, it's London Close currently. During London session we increased as anticipated. This came to a halt when GDP data was released for the USD. 1.6% growth in Q1 versus 2.5% growth forecasted. This caused intitial panic selling of risk assets and buying of the dollar (as we can see EurUsd dropped off) However, price was able to stabilize on EurUsd at our forecasted buy area from 13 hours ago at 1.06845 4hr Support Zone.