The US dollar was stable on Wednesday after the Consumer Price Index results for October were unexpectedly higher than forecasted, with Fed Chairman Jerome Powell going on to speak positively about the state of the US economy.
Day’s news (GMT 3):
10:00 Germany: Gross Domestic Product (QoQ) (Q3).
10:30 Switzerland: Producer and Import Prices (MoM) (Oct).
10:45 France: Consumer Price Index (EU norm) (MoM) (Oct).
12:30 UK: Retail Sales (MoM) (Oct).
13:00 Eurozone: Gross Domestic Product s.a. (QoQ) (Q3).
16:30 Canada: New Housing Price Index (MoM) (Sep).
16:30 USA: Initial Jobless Claims (Nov 8).
18:30 USA: EIA Natural Gas Storage Change (Nov 8).
Yesterday's expectations came true. The EURUSD pair fell to 1.0995. At the time of writing, the euro is valued at 1.1005. Technically, the pair has long been ready for an upwards correction, with bulls kept in check by the background goings-on across the Eurozone and the United States.
Two supports can be identified below 1.10 - 1.0986 and 1.0964. We predict further decline to 1.0964, from where a price rebound is certainly possible. The forecast for further decline will expire when the daily candlestick closes above 1.1020.