EUR/USD today: the pair continues to consolidate

At the trades on Wednesday, the pair EUR/USD weakened slightly on the overall strengthening of the American, but remained trading in a sideways trend. At the beginning of today’s trading mood on the American has changed due to the growth of uncertainty in the US. But, the pair kept the movement in a sideways trend. Continued consolidation calls into question the technical development of signals, and the upcoming data on the US adds uncertainty to the auction.

Events for today:

• At 14:00 – publication of the minutes of the meeting of the Bank of England.
• At 14:30 – the speech of the head of the Bank of England Carney.
• Also, at 14:30 – a block of news on the US: the number of initial applications for unemployment benefits and labor costs.

In addition to important data on the UK, investors are waiting for the publication of the Trump’s tax reform and the announcement of the head of the US Federal Reserve, which will have a significant impact on the US currency.

There may be a volatility increase on the EUR/USD pair through the cross EUR/GBP based on the data output on the UK. The pair EUR/USD remains consolidated in the corridor from 1.1570-90 to 1.1660-80 and will probably remain in it until tomorrow’s release of the US data. An unexpected data on the US may be the reason for exit. So, it is worth to be very accurate today. Support levels: 1.1570 and 1.1550, resistance ones: 1.1680 and 1.1740.

Hanzenko Anton