Instrument: EURUSD
Technical Analysis
Bullish Preference:
Buy position is envisaged if price trades above 1.19385 with take profit at 1.19516.
Bearish Preference:
Sell position is envisaged if price trades below 1.19065 with take profit at 1.18895.
Fundamentals:
EUR: German WPI m/m (8am)
EUR: Eurogroup Meetings (ALL DAY)
USD: Empire State Manufacturing Index (1:30 AM)
Comment: On Friday, EU reported that Euro Area Industrial Production increased by 0.8% month-over-month compared to analyst consensus which called for growth of 0.2%.
The reports were stronger than expected but failed to provide support to euro as Investors focused on rising Treasury yields. The yields of U.S. government bonds continue to move higher at the beginning of the week as traders expect higher inflation after the new round of economic stimulus in the U.S. If Treasury yields get to new highs, the U.S. dollar will get additional support.
Analysis: SCRUM Team
