EUR/USD struggling to overcome the area of 1.1830, waiting for Yellen and Draghi

The pair EUR/USD, once more, did not exceed the area of 1.1820-30 and lost around 25-30 pips since the highs of the session.

The pair fell from 1.1800 and was swept away by a modest recovery of the US dollar, led by data slightly better than expected orders for durable goods in the U.S. In fact, excluding the items of transport, articles for durable goods rose 0.5% monthly during July, better than the 0.4% expected and 0.1% in the previous month.

Meanwhile, the number of owners showed that durable goods orders fell by 6.8% in July, marking its largest decline since August 2014. This, along with a slight tendency to rise, helped to limit the losses for the pair.

The market seems to have largely ignored the comments of a few members of the FOMC — the president of the Fed of Cleveland, Loretta Mester, and the president of the Dallas Fed Robert Kaplan, as traders also seemed reluctant to make aggressive bets before the speeches, as expected by the chairman of the Fed Janet Yellen and the ECB president, Mario Draghi, in the important Symposium in Jackson Hole.

Technical perspective

Valeria Bednarik, analyst leader of FXStreet, wrote: «the pair remains around 1.1800, with a neutral short-term agreement with the 4 hours chart, as the price is barely above the SMA 20 and 100, both flat and within a set range, while technical indicators do not lead to any part around their middle lines. The minimum weekly in 1.1730 is support immediately before a zone of static stronger in the 1.1680/90, below this last, the fall may gain momentum and extend up to 1.1630. To the upside, 1.1830 is the immediate resistance, followed by 1.1860, with only a break above this last favoring a continued uptrend later in the day.

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