EUR/USD Daily Price Forecast – The Euro Pair At Its One-Month High

The EUR/USD rang the opening bell on Friday morning session with three bull candles lifting the pair from 1.1258 level to 1.1290 level, straight 0.28 percent up. The Euro pair is expected to show significant movement on either side during the day.

The catch is that the Euro jump was in correlation with the greenback which displayed a negative opening today, 0.16 percent down on cable upsurge. The GBP/USD upshot 0.23 percent on the back of positive comments from UK PM May as the House of Commons adjourned over the Easter Recess.

PM Theresa May addressed the MPs on utilizing this holiday time for a deal preparation. Effectively use of holiday time will allow the UK to speed up the EU leaving process. Theresa May pointed out that the UK could avoid sitting in the EU election holdings if the deal gets ratified before May 23.   

Key EUR/USD Influencing Events

06:00 GMT (Mid Volatile)

The Statistisches Bundesamt Deutschland will release the March Wholesale Price Index (Both YoY & MoM) relevant to the German economy. The previous numbers stood at 1.6 percent for YoY and 0.3 percent for MoM.

07:00 GMT (Mid Volatile)

The National Institute of Statistics, Spain will broadcast the following March (Both YoY & MoM) index:

• Harmonized Index of Consumer Prices (HICP): The consensus estimates are in-line with the previous HCIP numbers of 1.3 percent and 1.4 percent respectively.
• The Consumer Price Index (CPI): The market analysts take an in-line stance on the index. The previous YoY index was 1.3 percent, and MoM index was 0.4 percent.

14:00 GMT (High Volatility)

The University of Michigan will issue the Michigan Consumer Sentiment Index for April. Overall, the consensus is taking a bearish stance with 0.4 percent lesser than the previous.

Technical Analysis

The euro pair traded above the 21-day SMA (Simple Moving Average), 55-day SMA, and the significant 100-day SMA as well as 200-day SMA developing a bullish stance on the pair. The EUR/USD breached off the strong resistance of 1.1289 level reaching the one-month top of 1.1297 level. The pair was drifting near the upper bound area of the Bollinger bands after crossing the center line, showing a bullish trend in the future movements of the pair. On the downside, there remain robust support lines at 1.1249 and 1.1233 levels.