EUR/USD at $1.0815: Awaiting Breakout as U.S. GDP and Eurozone Inflation Data Loom

The EUR/USD pair is currently positioned at $1.08154, navigating within a symmetrical triangle pattern on the 2-hour chart, suggesting market indecision.

With pivotal economic data releases and technical signals in play, traders are closely watching for a decisive move.

The pair’s 50-period Exponential Moving Average (EMA) sits at $1.08115, acting as a crucial pivot point, while the Relative Strength Index (RSI) at 52.71 indicates a balanced momentum between buyers and sellers.

This setup creates a potential breakout scenario, with traders anticipating a directional shift depending on upcoming economic releases.

A break above the immediate resistance of $1.08300 could propel the pair toward higher levels, whereas a drop below support might signal bearish momentum.

📊 EUR/USD

The euro vs. US dollar exchange rate, is a widely traded currency pair. Its movement is influenced by ECB and Fed policies, economic indicators, and interest rates. The pair has recently seen volatility due to inflation, geopolitics, and global economic shifts.

— Ghost (@GhstInDMachine) October 29, 2024

• Current Price: $1.08154
• Pivot Point (50 EMA): $1.08115
• RSI (14): 52.71 (neutral)

Economic Data to Watch: European and U.S. Indicators Impacting EUR/USD

Key Data from the U.S. (Oct 29):

The U.S. recently released two significant indicators:

• CB Consumer Confidence: Rose to 108.7, surpassing the forecast of 99.5 and the previous figure of 99.2, signaling heightened optimism in the economy.
• JOLTS Job Openings: Reported at 7.44 million, falling short of the expected 7.98 million, suggesting a slight cooling in the labor market.

Upcoming European Data (Oct 30):

A series of economic releases from the Eurozone could sway the EUR/USD pair:

• German Preliminary CPI (m/m): Expected at 0.2%, up from the previous 0.0%.
• French Consumer Spending (m/m): Forecasted to decline to 0.1% from 0.2%.
• German Unemployment Change: Anticipated to increase by 15,000.
• Eurozone Preliminary GDP (q/q): Set at 0.2%, in line with the previous figure.

These releases, particularly Germany’s inflation data and Eurozone GDP, could influence market sentiment and potentially drive EUR/USD out of its current triangle pattern.

Today's range expected 1.0794 (mPOC London) x 1.0866, between previous session POC 1.0815, price around now. Eco EUR German GfK out positive, USD 10 am Consumer Confidence + Jolts. pic.twitter.com/Zpgal94ne0

— Trading Range EURUSD (@TraderJJS) October 29, 2024

Technical Levels: Immediate Resistance and Support to Guide Trades

For traders, keeping a close eye on technical levels is essential as the EUR/USD sits within a symmetrical triangle pattern, indicating the potential for an imminent breakout.

• Immediate Resistance: $1.08300 – A break above could indicate bullish strength.
• Next Resistances: $1.08552 and $1.08718 – Targets in the case of an upward breakout.
• Immediate Support: $1.08115 (50 EMA) – Acting as a pivot point and essential support level.
• Next Supports: $1.07869 and $1.07703 – Downside targets if bearish momentum takes over.

Conclusion: Awaiting Breakout Amid Market Indecision

With the EUR/USD trading in a symmetrical triangle, both bulls and bears are vying for control. The technical setup and upcoming economic data create a high-stakes scenario where a breakout could determine the next trend direction. Traders are advised to monitor the key levels and economic events for insights into the pair’s likely trajectory.

Key Takeaways:

• EUR/USD poised for potential breakout with symmetrical triangle pattern.
• Immediate resistance at $1.08300 and support at $1.08115.
• Upcoming economic data releases are critical for gauging next moves.

This balanced approach to technical and economic indicators should provide traders with a solid foundation for making informed trading decisions.