FX.co ★ GokBoruHunter | EUR/USD

EUR/USD Daily Outlook Update The Euro (EUR) is down 0.1% and trading around 1.1610 against the US Dollar (USD) during the European session on Tuesday. The leading forex currency pair is moving lower amid a recovery in the US Dollar, despite the negative open. As of now, the US Dollar Index (DXY), which reflects the value of the Greenback against six major currencies, is trading 0.1% higher at around 99.00. Market participants expect the US Dollar to remain sideways as expectations of Fed interest rate hikes shift slightly, following a better-than-expected US Nonfarm Payrolls (NFP) report for August and supportive comments from Fed officials on inflation. In the coming days, the publication of the United States Consumer Price Index (CPI) figures for August on Friday is set to drive a significant move in the United States Dollar. The Euro will also continue to trade within a narrow range as traders await the European Central Bank (ECB) interest rate decision on Thursday. "The path for the ECB is clear, and financial markets fully price in a rate hike at Thursday's Governing Council meeting. On the daily chart, EUR/USD is trading at 1.1612, maintaining a neutral short-term outlook due to its proximity to the 20-period EMA of 1.1601. Price near the short-term EMA suggests consolidation so far, while the RSI at 54 indicates neutral-to-positive momentum and a slight buyer advantage. On the downside, support appears around the 20-period EMA at 1.1600, where buying pressure may emerge if the pair retraces. This major currency pair may fall to the psychological mark of 1.1500 if it fails to hold the 20-day EMA. To the upside, the August high of 1.1710 is the main resistance level.