FX.co ★ EUR/USD to exit its range soon? US data decisive!

The EUR/USD pair continues to move sideways in the short term. It's trading at 1.0830 at the time of writing. You already know from my analyses that only a valid breakout from this chart formation could bring good opportunities.

Fundamentally, the Eurozone Final CPI and Final Core CPI came in line with expectations. Still, the US is to release significant economic data, so the fundamentals should drive the rate later.

The US PPI may report a 0.1% drop, Core PPI could report a 0.1% growth, Retail Sales could remain in the negative territory, the indicator is expected to register a 0.8% drop, while Core Retail Sales could drop as well by 0.5%.

EUR/USD False Breakout!

From the technical point of view, it's still trapped within an extended range. It has rallied after a false breakdown below 1.0780 and it has reached 1.0867 again. Now, it has registered only a false breakout through this static resistance and it's located below the upper median line (uml) again.

Failing to make a new higher high signaled exhausted buyers and announced a potential downside breakout.

EUR/USD Forecast!

As long as it stays under the upper median line (uml), EUR/USD could slip lower. A new lower low, bearish closure below 1.0766 activates a deeper drop towards the S1 (1.0690). The median line (ml) could attract the price as well.