Daily Analysis EURUSD - 9 Aug 2023

The German Harmonized Index of Consumer Price (HICP) matched the market consensus at 6.5%, while the Eurozone Sentix Investor Confidence improved from -22.5 in July to -18.9 in August, aligning with the expected -23.4. Moody's downgraded credit ratings for small to mid-sized US banks, warning of possible cuts to larger institutions due to increased recession risk from higher interest rates. This pressure urges adjustments in finance and real estate after the pandemic. Additionally, sluggish economic rebound and subdued global demand reflect in US trade data. With mostly dovish comments from Fed officials, attention shifts to the upcoming US inflation report as the central bank watches price data until the September policy meeting.

The EUR/USD price action indicates a double bottom, suggesting uncertainty regarding the current level and a clustering of prices at this point. The upcoming support levels are situated at 1.0920 and 1.0850. Furthermore, the 100MA on the daily chart is providing support at the present levels.

Resistance 3	Resistance 2	Resistance 1	Support 1	Support 2	Support 3
1.1090	1.1050	1.1000	1.0950	1.0900	1.0850