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Sep 18 - 08:55 PM

EUR/USD - Divergent Central Bank Yield Outlooks Support

By Andrew M Spencer  —  Sep 18 - 07:35 PM
  • +0.05% after closing up 0.05% with the USD steady after a volatile session

  • Euro zone inflation is not where ECB wants it to be, Bundesbank chief says

  • Sharp contrast to the confidence expressed by Fed Chair Jerome Powell

  • Comments suggest tighter interest rate differentials should support EUR/USD

  • Charts; horizontal daily momentum studies, 21-day Bollinger bands contract

  • Mixed 5, 10 & 21-day moving averages - overall a modest positive bias

  • A close below 1.0996, 0.382% Jun/Aug rise would end the topside bias

  • Wednesday's 1.1189 top, then the 1.1201 August high are the first resistance

  • 1.1100 3.617 BLN, 1.1105 1.170 BLN and 1.1120/25 1.670 BLN Sept 18th strikes

    For more click on FXBUZ

Source:
Refinitiv IFR Research/Market Commentary

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