EUR/USD recap for 11.05.2018
Yesterday's market play-out for the EURUSD has led to Thursday's comment for reaching 1.19637 and testing it (around the EMA200). As clearly seen though, bulls had no further conviction to push it above the EMA200 and to call it a day. The price opened at 1.19135, made a little low to 1.18907 and then after fundamentals it managed to gain some grounds towards the mentioned 1.19637, surpass it to 1.19674 and making a touchdown on 1.19377.
Though the forecast has been played out the price movement and market behavior hasn't provided enough evidence for a reversal. In regards to fundamentals, not enough to be impressed about after weaker than expected Import Prices coming in at 0.3% from the forecasted 0.5% and Prelim Consumer Sentiment, coming in just slightly better then the forecast of 98.4 to 98.8. Inflation expectations remain within the predicted between 2.5 and 2.8%.
And in regards to the slight but fragile boost to the Euro, Draghi played his part with his statement in Florence. Not that full of content in regards not mentioning anything for the inflation, to meet future Eurozone headwinds and no relevant comment for the monetary policy. Thus Friday ended and so the week as well, which gave a positive look on the Euro. Look that was more actioned by weakened USD overall across the board.
Firm closings above 1.960 - 70 will give us more light on the "positive" look for the Euro currency. Don't forget about the Doji on 09.05 (daily chart).
Keep an eye.