EUR/USD Technical Analysis – March 29, 2024

As we approach the end of the week, month, and quarter, the EUR/USD pair presents a nuanced technical landscape against the backdrop of significant economic releases. Here’s a detailed breakdown of the current technical setup and the day’s strategic focus.

Yesterday’s Market Recap

  • The pair reached a high of 1.08266 before retreating to mark the month’s low at 1.07751.
  • Concurrently, the DXY (US Dollar Index) stands at 104.63, eyeing resistance at yesterday’s peak of 104.75.

Today’s Technical Levels

  • Pivot Point: Positioned at 1.07969, serving as today’s baseline for bullish or bearish bias.
  • Resistance Levels: R1 is at 1.08186, with R2 at 1.08484, leading up to R3 at 1.087, slightly above this week’s high of 1.08641.
  • Support Levels: S1 finds itself at 1.07671, below the weekly and monthly lows, followed by S2 at 1.07454 and S3 at 1.07156.

Strategic Focus

  • The spotlight is firmly on the release of the Core PCE Price Index, a pivotal indicator that could sway market sentiment and dictate the EUR/USD pair’s direction.
  • In anticipation of potential volatility and market reactions to the Core PCE data, a cautious approach is advised. Trading activities will be on hold until the release, underscoring the significance of this economic indicator in shaping today’s trading strategy.

Today’s trading session is poised at a critical juncture, with the release of the Core PCE Price Index potentially setting the tone for the EUR/USD pair’s movement. Traders are advised to stay alert, monitor the market’s response to the economic data closely, and be prepared to adjust their strategies accordingly. As always, maintaining a disciplined approach to risk management is paramount in navigating the uncertainties of the forex market.

Trading our dreams into reality,
Mihai Paul Olteanu