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This range just keeps on giving!

EUR/USD just bounced off the bottom of its short-term rectangle and might be setting its sights back on the top.

Will resistance hold again?

Before moving on, ICYMI, yesterday’s watchlist checked out USD/CHF for a trend reversal and pullback setup. Be sure to check out if it’s still a valid play!

And now for the headlines that rocked the markets in the last trading sessions:

Fresh Market Headlines & Economic Data:

U.S. ISM services PMI up from 55.3 to 56.7 vs. projected fall to 53.5

U.S. ISM services survey reports another contraction in employment for July

U.S. factory orders accelerated from 1.8% to 2.0% vs. 1.3% forecast

EIA crude oil inventories up by 4.5M barrels vs. projected 1.5M drop

Fed official Kashkari: Inflation dragging wages higher

Fed official Daly: Strong chance of another 0.75% hike if inflation soars higher

OPEC+ commits to increasing output targets by 100K bpd

Australian trade surplus widened to 17.67B AUD vs. 14B AUD forecast

German factory orders dipped by 0.4% vs. expected 1.0% fall, previous 0.2% decline

Chinese military reportedly starting drills near Taiwan

Upcoming Potential Catalysts on the Forex Economic Calendar:

BOE monetary policy statement at 11:00 am GMT
BOE MPC meeting minutes at 11:00 am GMT
BOE Governor Bailey’s speech at 11:30 am GMT
U.S. Challenger job cuts at 11:30 am GMT
FOMC member Mester’s speech at 4:00 pm GMT
Japanese average cash earnings and household spending at 11:30 pm GMT
RBA monetary policy meeting minutes at 1:30 am GMT (Aug. 5)

Use our new Currency Heat Map to quickly see a visual overview of the forex market’s price action! 🔥 🗺️

What to Watch: EUR/USD

EUR/USD 1-hour Forex Chart

EUR/USD 1-hour Forex Chart

Don’t count euro bulls out just yet!

EUR/USD managed to keep its head above the bottom of its short-term range around the 1.0125 mark and might make its way back to the top.

Are there enough bullish vibes to go on?

Technical indicators are suggesting so, as the 100 SMA is above the 200 SMA while Stochastic has room to climb before indicating exhaustion among buyers.

Just note that the pair is trading below both moving averages, so these could also hold as dynamic resistance around the middle of the range or the 1.0200 handle.

When it comes to fundamentals, the lack of top-tier releases from both the eurozone and the U.S. economy could be enough to keep EUR/USD tiptoeing sideways. After all, dollar traders might be in a cautious mood ahead of tomorrow’s NFP release.

Besides, market watchers might be bracing for a weaker-than-expected jobs figure since the ISM surveys reported declines in their employment components.

If you’re planning on trading this pair during the U.S. jobs release, make sure you check out this July NFP event preview!