EUR/USD: US sour data had a limited effect

EUR/USD is bearish in the short-term, needs to break below the 1.0835 support, according to FXStreet’s Chief Analyst Valeria Bednarik.

Key quotes

“The US has just released Initial Jobless Claims for the week ended April 10, which were worse than anticipated at 5245K although better than the previous weekly figure, which was upwardly revised to 6615K.”

“The Philadelphia Fed Manufacturing Survey came in at -56.6 for April vs. the expected -30. The sour numbers had a limited effect on currencies, with EUR/USD holding a few pips below the 1.0900 figure.”

“In the EUR/USD 4-hour chart, the risk remains skewed to the downside, as the pair is developing below all of its moving averages, while technical indicators remain within negative levels, with modest downward slopes.” 

“The main support is the 61.8% retracement of the same rally at 1.0835, with a steeper decline expected on a break below the level.”