The Fed soft comments brought down the US dollar
The US dollar tried to strengthen against the euro before the Fed meeting. During the day the market was reacting to the positive macroeconomic data for the US.
In February Core CPI gained 0.3% against expectations of 0.2%, it also increases from 2.2% to 2.3% during the year.
After Janet Yellen soft comments the pair added more than 100 points and reached the level of 1.1231.
Today the euro zone is to publish data on CPI, which is expected unchanged 0.2% and trade balance data. If we see growth in the trade balance of the EU, the pair EUR/USD may continue to grow.
How to trade
We would buy call options if the price rises above the level of 1.1246. The unsuccessful attempt to break the level of 1.1246 could lead to the completion of construction of the upward wave.
Target price: 1.1246
Close price: 1.1316
Expiry time: 21:00 GMT