ANALYSIS
NQ100 Finds Support from PPIApr 14
EURUSD:The Level of 1.0570 Will Be Followed at the Pair
Concerns about high inflation for the Eurozone continue. The expectations that the Central Bank (ECB) will deepen its tightening steps helped the pair to find some support. However, the hawk statements of the FED Governing Council Members against high inflation in the USA limited the recovery of the pair. As a matter of fact, FED Member Waller said that if the economic data did not come as he expected, he would support the 75 basis point rate hike in July, while Cleveland FED Chairman Mester pointed out that the recession risks increased as the effects of the tightening, which kept the parity under pressure. With the effects of all these, the US 10-year bond yields are anchored above 3.20 percent, while the strong outlook of the dollar weakens the euro. Under this outlook, the parity, which will protect its downside potential unless the 1.0570 level indicated by the 100-period exponential moving average is exceeded, can continue the decline until the 1.0500 support if it leaves the psychological 1.0500 level. 1.0615 resistance can be observed in the crossings above the possible 100 EMA in the parity.
