Source: PaxForex Premium Analytics Portal, Technical Insight

Eurozone: the key indicator for long-term inflation expectations reached a 21-month high. The key indicator for long-term inflation expectations in the euro area exceeded 1.40% for the first time since May 2019. The 5-year forward inflation swap rate, closely monitored by the ECB, was 1.405% (+2 basis points). The main catalyst for Friday's rise was a rise in Treasury yields, accompanied by a speech by Fed Chief Powell, which once again lifted global yields. This is an encouraging sign for the ECB given the fact that the central bank has not been able to raise the inflation rate to the target of 2% for many years.

EUR/USD, 30 min

Pivot: 1.1929

Analysis:

Provided that the currency pair is traded above 1.1900, follow the recommendations below:

• Time frame: 30 min
• Recommendation: long position
• Entry point: 1.1929
• Take Profit 1: 1.1945
• Take Profit 2: 1.1965

Alternative scenario: 

In case of breakdown of the level 1.1900, follow the recommendations below:

• Time frame: 30 min
• Recommendation: short position
• Entry point: 1.1900
• Take Profit 1: 1.1885
• Take Profit 2: 1.1870

Comment:

RSI is bullish and indicates an uptrend within a day.

Key levels:

EUR/USD, D1

Pivot: 1.1893

Analysis:

While the price is below 1.2030, follow the recommendations below:

• Time frame: D1
• Recommendation: short position
• Entry point: 1.1893
• Take Profit 1: 1.1800
• Take Profit 2: 1.1700

Alternative scenario:

If the level 1.2030 is broken-out, follow the recommendations below:

• Time frame: D1
• Recommendation: long position
• Entry point: 1.2030
• Take Profit 1: 1.2180
• Take Profit 2: 1.2270

Comment:

RSI shows the development of a downtrend in a medium term.

Key levels:

We also advise you to pay attention to the following currency pairs for intraday trading:

USD/CAD – short positions below 1.2640 with 1.2565 and 1.2550 targets as Take Profit. Alternative scenario - if the level of 1.2640 is broken-out, buy with the targets 1.2660 and 1.2685 as Take Profit.
GBP/USD - buy above 1.3900 with 1.3950 and 1.3975 targets as Take Profit. Alternative scenario - if the level 1.3900 is broken-down, sell with the TP 1.3880 and 1.3855.
AUD/USD – buy above 0.7715 with 0.7780 and 0.7800 targets as Take Profit. Alternative scenario - if the level 0.7715 is broken-down, sell with the TP 0.7690 and 0.7665.