Will the euro-dollar pair, which is facing resistance at higher levels, extend its decline? All eyes are on the outcome of the FOMC meeting.

Will the euro-dollar pair, which is facing resistance at higher levels, extend its decline? All eyes are on the outcome of the FOMC meeting.

26.07.2023

In the previous day’s U.S. currency trading, the U.S. dollar strengthened against the euro after the U.S. Conference Board’s July Consumer Confidence Index, released during U.S. trading hours, rose to 117.0 from the previous reading of 109.7.The EUR/USD pair fell from 1.1086 to 1.1020. The 20-period moving average (MA) on the hourly chart acted as resistance, and the downtrend continued. However, on the higher timeframe (4-hour chart), support from the 200-period exponential moving average (EMA) and simple moving average (SMA) exists just below the current price. Therefore, we should carefully assess whether the pair will break below these support levels as we move into U.S. trading hours.

Among European currencies, the pound traded in a narrow range against the yen. GBP/JPY fluctuated between 181.147 and 182.008, moving back and forth across the 20-period moving average on the hourly chart and showing a lack of clear direction.During today’s Asian session, although the pair is trading above the 20-period moving average, it remains range-bound within a 20-pip range. Until the FOMC meeting concludes, it seems prudent to adopt a wait-and-see stance regarding the direction of cross-yen pairs.

Today, the Japanese Leading Economic Index is scheduled for 2:00 PM, the Swedish trade balance at 3:00 PM, the French consumer confidence index at 3:45 PM, the Swiss investor confidence index at 5:00 PM, the U.S. MBA mortgage applications index at 8:00 PM, U.S. new home sales at 11:00 PM, and U.S. weekly crude oil inventories at 11:30 PM.at 27:00, the U.S. FOMC policy rate decision and statement, and at 27:30, a press conference by Fed Chair Powell. With the EUR/USD pair facing resistance, we will be watching closely to see if it extends its decline following the FOMC announcement.

Past Market Reports

1. 21.04.2026New

   With the euro-Australian dollar pair hitting new lows this month, attention is turning to how much further it might fall

2. 20.04.2026New

   Will the market wait and see how much further the U.S. dollar can rise against the yen?

3. 17.04.2026New

   Will the weakening Swiss franc recover? Attention is turning to price movements during European trading hours.

4. 16.04.2026New

   Market participants are likely keeping a close eye on the upside potential of the euro, which has risen against the U.S. dollar

5. 15.04.2026New

   Should we keep an eye on remarks by key figures in the U.S. and try to gauge the direction of currency strength?

6. 14.04.2026

   Market participants are likely watching for signs of a rebound in the Canadian dollar, which fell against the U.S. dollar following the release of employment figures

7. 13.04.2026

   Will the weakening Swiss franc continue to strengthen against the yen, or should we wait and see?

8. 10.04.2026

   Will the U.S. dollar, which has fallen against the yen, continue its downward slide, or should we wait and see how the market moves?

9. 09.04.2026

   Should we keep an eye on the upside for European currencies that have risen against the U.S. dollar?

10. 08.04.2026

    Market participants may be wary of further downside potential for the U.S. dollar, which has weakened amid concerns over the situation in Iran