The EUR/USD pair rallied in the short term as the DXY crashed ahead of the US midterm election results. Also, traders are waiting for the US inflation data on Thursday. Lower inflation could help the FED to deliver only a 50 bps rate hike in December.
Today, the Euro-zone Retail Sales rose by 0.4% matching expectations, while the US NFIB Small Business Index came in at 91.3 points as expected, while IBD/TIPP Economic Optimism was reported at 40.4 points versus 41.5 points estimated.
EUR/USD Strongly Bullish!
EUR/USD retreated a little after reaching 1.0034 yesterday. It has challenged parity (1.0000) failing to stay below this key level. Now, it has edged higher ignoring the 1.0034 resistance signaling strong buyers and a potential upside continuation.
The price took out also to the R1 (1.0050) which represented a static resistance as well. The aggressive breakout through these immediate resistance levels represented long opportunities.
EUR/USD Forecast!
The next upside target is represented by the 1.0093 higher high. A valid breakout through this static obstacle may announce further growth and could bring new long opportunities.
