EUR/USD moves towards a test of the 100-day moving average again
The 100-day MA (red line) @ 1.1276 will once again be a key point of contention again for buyers and sellers - much like yesterday. If buyers can hold a close above that, it would break the bearish bias in the pair and open up the path for further gains.
The dollar continues to be a little weaker in early trades in the European morning amid a fall in global bond yields as the focus starts shifting towards the Fed being open to the possibility of rate cuts later this year.
However, that also begs the question, if the Fed does lean towards that, other central banks are most likely to also follow in that direction as their economies aren't doing any better. Hence, does that feed back into dollar strength in the bigger picture? Only time will tell.
For EUR/USD today, keep an eye out on the 100-day MA as the key level before offers are next seen closer to 1.1300. As for downside levels, there is some minor support seen around 1.1225-35 before light bids are seen near 1.1200-10.
