Euro Decline Accelerates Again, Dollar Looking Strong
Action Insight Mid-Day Report 4-27-22

Euro Decline Accelerates Again, Dollar Looking Strong

Selloff in Euro accelerates again today, as Germany benchmark 10-year yield tumbles back below 0.8 handle. Swiss Franc and Sterling are also the weaker ones. Australian Dollar is supported by stronger than expected CPI reading, but looks rather vulnerable into US session. Indeed the greenback is probably ready to power up again, including against commodity currencies and even Yen.

Technically, EUR/CAD will be a focus as it's heading back to 1.3517 temporary low. Firm break there will resume larger down trend to 161.8% projection of 1.5096 to 1.4162 from 1.4633 at 1.3122. At the same time, break of 1.4687 support in EUR/AUD will also bring retest of 1.4318 low, and solidify Euro's selloff against commodity currencies.

In Europe, at the time of writing, FTSE is up 0.57%. DAX is up 0.08%. CAC is up 0.26%. Germany 10-year yield is down -0.031 at 0.787. Earlier in Asia, Nikkei dropped -1.17%. Hong Kong HSI rose 0.06%. China Shanghai SSE rose 2.49%. Singapore Strait times dropped -0.04%. Japan 10-year JGB yield rose 0.0026 to 0.250.

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Top Movers | HeatMap | Pivot Points | Pivot Meters | Action Bias | Vol

EUR/USD Mid-Day Outlook

Daily Pivots: (S1) 1.0602; (P) 1.0671 (R1) 1.0705; More...

Intraday bias in EUR/USD remains on the downside for 100% projection of 1.1494 to 1.0805 from 1.1184 at 1.0495. Firm break there will pave the way to 161.8% projection at 1.0069. On the upside, above 1.0654 minor resistance will turn bias neutral and bring consolidations. But upside should be limited by 1.0756 support turned resistance to bring fall resumption.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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Economic Calendar
GMT Ccy Events Actual Forecast Previous Revised
01:30 AUD CPI Q/Q Q1 2.10% 1.70% 1.30%
01:30 AUD CPI Y/Y Q1 5.10% 4.60% 3.50%
01:30 AUD RBA Trimmed Mean CPI Q/Q Q1 1.40% 1.20% 1.00%
01:30 AUD RBA Trimmed Mean CPI Y/Y Q1 3.70% 3.40% 2.60%
06:00 EUR Germany Gfk Consumer Confidence May -26.5 -15.7 -15.5 -15.7
08:00 CHF Credit Suisse Economic Expectations Apr -51.6 -27.8
12:30 USD Goods Trade Balance (USD) Mar P -125.3B -105.0B -106.6B
12:30 USD Wholesale Inventories Mar P 2.30% 2.30% 2.50%
14:00 USD Pending Home Sales M/M Mar -1.00% -4.10%
14:30 USD Crude Oil Inventories 0.1M -8.0M