The U.S. dollar is trading lower today, with EURUSD gaining nearly 0.3%, forming a potentially bearish local triple top formation. Statements by Fed members carry a mixed tone today. On the other hand, the pair is holding above the 200-day moving average, and the wick of the candlestick on D1 suggests that the bulls may be able to maintain the bullish mometum crossing by 1,09 key resistance zone.
Fed Daly
- My business contacts remain concerned about elevated inflation.
- It's too early to declare victory against price pressures.
- It is also too early to say whether the neutral rate has risen.
- Neither the Fed nor I are sure that inflation is on track to 2%.
- We must resist the pressure to act too quickly when patience is required.
- The Fed is uncertain about the length of monetary policy transmission delays.
- The Reserve is grappling with uncertainty about the outlook and policy delays, but needs the courage to wait in uncertain times.
Fed Barr
- We are probably near the peak of interest rates, where we should be.
- The banking system is not deeply exposed to cryptocurrencies, most banks are taking a cautious and prudent approach.
EURUSD (M5, D1 charts)
The short-term technical situation for the Eurodollar looks more favorable on the daily interval than the short-term M5 where supply is slowly starting to come to the fore.
Source: xStation5
Source: xStation5
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Daily summary: The market pauses at the top