- The EUR /USD pair declined on Monday as investors braced for a potential interest rate hike in the United States.
- Markets have priced in an U.S. interest rate rise when the Federal Reserve meets this Wednesday, a view cemented by robust U.S. jobs data on Friday.
- The Federal Open Market Committee, the central bank’s policy-setting board, is expected to lift interest rates by a quarter point to 0.75 percent-1.00 percent after a two-day meeting that starts on Tuesday.
- Further upside for this pair is expected to be limited as strong resistance level at 1.0766 is set to limit upside and bring decline towards lower levels.
- To the upside, the immediate resistance can be seen at 1.0696, a break above this level would expose the pair to next resistance level at 1.0730.
- To the downside, immediate support can be seen at 1.0652, a break below at this level will open the door towards next level at 1.0600.
R1: 1.0696 (38.2% Retracement level)
R2: 1.0730 (50% Retracement level)
R3: 1.0766 (61.8% Retracement level)
S1: 1.0652 (38.2% Retracement level)
S2: 1.0600 (Psychological levels)
S3: 1.0569 (March 10th lows)
The material has been provided by InstaForex Company – www.instaforex.com