Technical Analysis:
EURUSD is looks bearish if we look at higher time frames and currenlty trading arounf 1.07480. We will not sell it directly from here because we are looking for an rectracement to the upside to1.07616 level and most probably during new york session we might see continuation to the downside.
Fundamentals:
The dollar index XY, which tracks the currency against six peers, rose 0.16% to 105.59, although remained around 1% below a 5-1/2 month high touched in April.
U.S. Treasury yields US10Y have fallen in recent days as traders have moved to price back in two interest rate cuts from the Fed this year, having seen one as most likely in the middle of April. The 10-year yield, which moves inversely to the price, was little changed at 4.469% on Wednesday.
The dollar held firm on Wednesday, recouping some of the losses stemming from renewed bets on Federal Reserve rate cuts this year, while the yen weakened for a third day, keeping investors wary of the risk of intervention from Tokyo.
In Europe, the Swedish crown came under pressure after the central bank cut interest rates and said it expected two more cuts this year, while the pound was stuck in negative territory ahead of a Bank of England meeting the next day.
Disclaimer: Trading carries risk. Practice effective risk management and consider your risk tolerance before trading.
