EUR/USD: Bearish pressure mounts, immediate support at 1.1170

The EUR/USD pair continues to trade within familiar levels, at 1.1220 as of writing, though faces bearish pressure after EU inflation recovered to 0.3% YoY in June, FXStreet’s Chief Analyst Valeria Bednarik informs.

Key quotes

“The EU published the preliminary estimate of June inflation, which rose by 0.3% when compared to a year earlier, better than anticipated. The core reading, however, retreated to 0.8% as expected. The US session will bring Chicago PMI for June, foreseen at 45, and Consumer Confidence. What’s more, US Fed’s Powell will testify alongside Treasury Secretary Mnuchin.”

“EUR/USD offers a neutral-to-bearish short-term stance as in the 4-hour chart, the pair remains below all of its moving averages, with a bearish 20 SMA capping advances. Technical indicators head lower, although the Momentum remains around its midline, indicating limited selling interest.”

“Support levels: 1.1170 1.1125 Resistance levels: 1.1230 1.1270.”