After surging close to 4% since early July off the back of a weakening USD, the EURUSD pair has stabilised around $1.123. With very little volatility seen this week in the pair, eyes now turn to the euro, as the European inflation data is set to be released today. Analysts are predicting a continued downward trend in inflation, with a Year-on-Year forecast of 5.50%, which is below May’s figure of 6.1%.
If the inflation data comes in above forecasts, we may see a further increase in the EUR as investors move towards the potentially higher yields. On the technical front, the tightening of Bollinger Bands on the 4-hour chart is something to watch. The lack of movement in the EURUSD pair throughout this week has led to exceptionally tight Bollinger Bands, with levels not observed on this timeframe since 2021.
When Bollinger Bands contract significantly, it typically signifies a period of low volatility and suggests that a breakout or significant price movement may be on the horizon. The Relative Strength Index (RSI) is also in overbought territory on multiple timeframes, including the daily. This might suggest there is room for a cool-off before a further continuation higher.
However, with the European inflation data due today, the fundamental data might cancel out any technical signals.
By
Ryan Boyd
Premium Client Manager
本文由 GO Markets 的分析師及撰稿人撰寫，內容基於其獨立分析或個人經驗。文中所表達的觀點、意見或交易風格均屬作者個人，並不代表或反映 GO Markets 的立場。任何提供的建議均屬一般性，並未考慮您的個人目標、財務狀況或需求。在採取任何行動之前，請考慮該建議是否適合您的目標、財務狀況與需求。若該建議涉及購買特定金融產品，請於作出任何決定前，先閱讀我們網站上提供的《產品揭露聲明書》（Disclosure Statement, DS）及其他法律文件。
