On Tuesday, Euro rose and fell, while USD index rose slightly. The increase in core CPI in the United States in August was the smallest since February, with a year-on-year increase of 4.0%. while the core CPI was 4.3% in July. It shows that the upward pressure on inflation has somewhat weakened, which supports the Fed's statement that “inflation is temporary”. If Europe's fundamentals have not improved and it still maintains a loose monetary policy, then Euro will remain weak and which will undoubtedly support the rise of USD, unless the European Central Bank starts to raise interest rates.
From a technical point of view, Euro’s daily candle closes with a hammer structure and a long upper shadow indicating the presence of a strong resistance. The moving average also formed Death Cross. H4 graph shows that EURUSD formed double top structure, and broke through the middle BOLL band and indicators turned bearish. Overall prioritize operation on the fluctuation zone. Consider the support zone and resistance zone, the deciding point whether to buy or sell is near1.1800.
Resistance：1.1820-1.1850-1.1880
Support：1.1800-1.1770-1.1750
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