Fundamental: The market is waiting for Eurozone's GDP 1Q figure. If as expected, it would confirm a recovery trend in EU is currently in place.
The trend is previously mentioned by ECB President Mario Draghi as "solid and broad". These keywords lifted EUR for the past week.
On the other hand, EURUSD's momentum has been hurt by expectation that FOMC would increase USD base rate in June. So after EUR GDP, market will be speculating on FOMC.
Technical: Momentum is, as said above, not very strong. If GDP figure is better than expected (> 0.5%) then we may see 1.1000. But I really doubt.
Downside, we may see 1.08. Then I may reconsider a LONG entry after FOMC is finished.
Recommendation: For now, better stay aside. Some may even enter a SHORT if EU GDP is <0.5%.
The trend is previously mentioned by ECB President Mario Draghi as "solid and broad". These keywords lifted EUR for the past week.
On the other hand, EURUSD's momentum has been hurt by expectation that FOMC would increase USD base rate in June. So after EUR GDP, market will be speculating on FOMC.
Technical: Momentum is, as said above, not very strong. If GDP figure is better than expected (> 0.5%) then we may see 1.1000. But I really doubt.
Downside, we may see 1.08. Then I may reconsider a LONG entry after FOMC is finished.
Recommendation: For now, better stay aside. Some may even enter a SHORT if EU GDP is <0.5%.
Trade closed: target reached:
Market actually closed just 2 pips away from 1.1000. Keep watching.
