Euro is regaining its bullish track, taking advantage of greenback’s decline 13/4/2023

Positive trades dominated the euro-dollar pair to reflect the expected bearish trend during the previous analysis, benefiting from the decline of the US dollar after the appearance of US inflation data. As a reminder, we indicated that closing above the resistance level of 1.0925 can postpone the suggested bearish scenario and lead the Euro-dollar pair to restore the main bullish trend to be in Waiting for the next targets 1.0965 and 1.1000, for the pair to succeed in recording its highest level at 1.1000, compensating the selling position.

On the technical side, today, we find the pair managed to breach the resistance of 1.0930. Furthermore, it shows consolidation above the level above, as we find the simple moving averages returned to carry the price from below, accompanied by the positive signs of the 14-day momentum indicator.

Therefore, we believe that the Euro returned to restore the official bullish track, targeting 1.1040 as the first target, knowing that breaching the first target enhances the chances of achieving more gains towards 1.1100/1.1090 next station.

Activating the suggested scenario depends on the stability of daily trading above 1.0930, and most importantly, 1.0900, and the return of trading stability below 1.0900, leading the pair to negative pressure, its initial target is to retest 1.0820.

Note: Today we are awaiting high-impact economic data issued by the US economy, “Producer Price Index, Job Claims” and “Gross Domestic Product from the United Kingdom” and the speech of the Governor of the “Bank of Canada”, and we may witness a high fluctuation in prices at the time of the news.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 1.0900	R1: 1.1040
S2: 1.0810	R2: 1.1090
S3: 1.0760	R3: 1.1180