Spreads
Spreads
Spreads
Spreads
Spreads
Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.
EUR/USD Holds Steady Ahead of ECB Meeting Amid Uncertainty
The EUR/USD maintained its position unaffected by the release of US consumer inflation data, trading within a familiar range with support around 1.0700. All eyes are now on the upcoming European Central Bank (ECB) meeting, which holds the potential to spark significant market movements due to the lack of consensus on policy actions. Reports suggest the ECB may raise its inflation forecast, fueling speculation about a rate hike. The ECB faces a dilemma between a rate hike and a pause, given economic conditions and persistent inflation. The outcome will be crucial, with potential implications for the Euro’s performance, while important US data releases could add to volatility in the days ahead.
According to technical analysis, EUR/USD moved flat on Wednesday and is currently trading just around the middle band of the Bollinger Bands. This movement suggests the possibility of further consolidation. The Relative Strength Index (RSI) is currently at 50, indicating that EUR/USD is in a neutral stance.
Resistance: 1.0759, 1.0803
Support: 1.0702, 1.0653
XAU/USD Slips as US Inflation Data Fails to Spark Dollar Rally
Gold traded around $1,910 in the American afternoon, marking its second consecutive day of losses. Earlier in the day, major assets remained within familiar ranges as investors awaited the release of US inflation figures. The Consumer Price Index (CPI) report for August showed a 0.6% MoM increase and a 3.7% YoY rise, surpassing market expectations, leading to an initial rally in the US Dollar. However, the Dollar’s gains were short-lived as the CPI readings were not strong enough to trigger a hawkish response from the Federal Reserve. Meanwhile, US indexes held modest gains, and US Treasury yields saw some uptick. Attention now turns to the European Central Bank (ECB) meeting, where expectations for a rate hike collide with economic challenges in the Euro Zone, leaving financial markets in a cautious state.
According to technical analysis, XAU/USD moved flat on Wednesday and moving between the lower and middle band of the Bollinger Bands. Currently, the price is trading slightly above the lower band with the potential for further downward movement. The Relative Strength Index (RSI) is currently at 39, indicating that the XAU/USD pair is still biased towards the bearish side.
Resistance: $1,916, $1,925
Support: $1,903, $1,893
Make informed decisions with the most up-to-date and reliable financial data, exclusively provided by vtmarkets.com.
