Daily Analysis For EUR/USD  01-05-2023

Daily Analysis For EUR/USD 01-05-2023

EUR/USD Analysis
Economic Events and Scenario for EUR/USD
Economic Events: -
00:00(Australia) Judo Bank Manufacturing PMIHighAUD
01:00(Austria) Labor DayNoneEUR
01:00(Belgium) Labor DayNoneEUR
01:00(China) May DayNoneCNY
01:00(Cyprus) Labor DayNoneEUR
01:00(Ecuador) Labor DayNoneUSD
01:00(El Salvador) Labor DayNoneUSD
01:00(Estonia) Spring DayNoneEUR
01:00(Euro Area) Labor DayNoneEUR
01:00(Finland) May DayNoneEUR
01:00(France) Labor DayNoneEUR
01:00(Germany) Labor DayNoneEUR
01:00(Greece) Labor DayNoneEUR
01:00(Ireland) May DayNoneEUR
01:00(Italy) Labor DayNoneEUR
01:00(Latvia) Labor DayNoneEUR
01:00(Lithuania) Labor DayNoneEUR
01:00(Luxembourg) Labor DayNoneEUR
01:00(Malta) Labor DayNoneEUR
01:00(Montenegro) Labor dayNoneEUR
01:00(Portugal) Labor DayNoneEUR
01:00(Spain) Labor DayNoneEUR
01:00(United Kingdom) May Day Bank HolidayNoneGBP
01:30(Japan) Jibun Bank Manufacturing PMIMediumJPY
02:00(Australia) TD-MI Inflation Gauge MoMLowAUD
02:30(Australia) ANZ-Indeed Job Ads MoMLowAUD
06:00(Japan) Consumer ConfidenceHighJPY
07:30(Australia) Commodity Prices YoYLowAUD
09:00(Switzerland) Myfxbook USDCHF SentimentMediumCHF
09:00(Australia) Myfxbook AUDUSD SentimentMediumAUD
09:00(Japan) Myfxbook USDJPY SentimentMediumJPY
09:00(European Union) Myfxbook EURUSD SentimentMediumEUR
09:00(United Kingdom) Myfxbook GBPUSD SentimentMediumGBP
09:00(Canada) Myfxbook USDCAD SentimentMediumCAD
09:00(New Zealand) Myfxbook NZDUSD SentimentMediumNZD
14:30(Canada) S&P Global Manufacturing PMIHighCAD
14:45(United States) S&P Global Manufacturing PMIHighUSD
15:00(United States) ISM Manufacturing PricesLowUSD
15:00(United States) ISM Manufacturing New OrdersLowUSD
15:00(United States) ISM Manufacturing EmploymentMediumUSD
15:00(United States) Construction Spending MoMLowUSD
15:00(United States) ISM Manufacturing PMIHighUSD
16:30(United States) 3-Month Bill AuctionLowUSD
16:30(United States) 6-Month Bill AuctionLowUSD

Today's Scenario: - For the third day in a row, the EUR/USD exchange rate remains low, hovering near 1.1010 during Monday's Asian session, despite being at its highest levels since April 2022. The Euro pair is facing pressure due to the recent decrease in hawkish expectations for the European Central Bank (ECB) and the strong inflation signals coming from the United States. In addition, fears of an economic slowdown and the current issues facing First Republic are also presenting challenges for those who wish to buy into the multi-month high.
First Republic, a US-based bank, has been struggling with an exodus of withdrawals, causing its share price to plummet. The Federal Deposit Insurance Corporation (FDIC) has called for bids to help resolve the situation. Despite JP Morgan and other top-tier private organizations placing bids for the takeover, the outcome is still uncertain. Even if a private entity steps in to defend the bank in the short-term, this is not a long-term solution to the broader banking problems that exist. Such actions may raise concerns of similar issues occurring in larger public banks in the future, leading to an overall risk-off mood that could continue.

Buy Scenario: - The EUR/USD pair if there is a recovery in the EUR/USD exchange rate, it may aim for the 1.1050 round figures before moving towards a 12-day-long horizontal resistance area surrounding 1.1065-70. Following that, the recently marked multi-month high of 1.1095 may prompt Euro pair buyers, directing them towards the March 2022 peak, close to 1.1185, till we do not advise to buy EUR/USD currency pair.

Sell Scenario: - The EUR/USD exchange rate faced selling pressure early on Monday, as the bears attacked the 1.1000 round figure. This marks the third consecutive day of decline for the Euro pair, as it broke below the 200-bar Exponential Moving Average (EMA) and an ascending trend line from April 10. The broad strength of the US Dollar and sluggish markets due to holidays at many bourses have contributed to the Euro's decline.
The failure of the Euro pair to defend the previous week's bounce off short-term horizontal support, coupled with impending bearish signals from the MACD indicator, suggest that the EUR/USD sellers are likely to maintain control. The pair is presently approaching a horizontal support zone that comprises multiple levels marked since April 25, near 1.0960. Afterward, the EUR/USD bears may face a challenge from a two-week-long ascending trend line near 1.0945. Till then we do not advise selling EUR/USD.

Support and Resistance Level: -
S1 1.0973-R1 1.1055
S2 1.0926-R2 1.1092
S3 1.0890-R3 1.1138


default man
Trade360 Review 2023: Account Options, Trading Hours, Security Measures, Pros and Cons

Trade360 Review 2023: Account Options, T...

Finexo Review 2023: Account Types, Spreads, Customer Support and Expert Analysis

Finexo Review 2023: Account Types, Sprea...

eToro Review 2023:  Trading Platforms, Instrument Variety Pros and Cons

eToro Review 2023: Trading Platforms, I...

Comprehensive Review of FXTrading.com: Pros and Cons of a Leading Trading Platform

Comprehensive Review of FXTrading.com: P...

Sky Alliance Markets Review 2023: Pros, Cons, and Trading Features

Sky Alliance Markets Review 2023: Pros, ...