EUR/USD

The Eurozone services PMI for the month of February will be released today at 0900 GMT. According to the economists polled, the services activity in the Eurozone is expected to remain stable with the index registering a print of 56.7. The forex signal of the day is EURUSD, the currency pair bounced back higher but the gains were capped by the resistance level.

The economic calendar today is void of any major market moving events. Both the Asian the European trading sessions are practically quiet with the UK markets closed on account of a Bank holiday.

It is slow trading day today and thus, the speech from the ECB President, Mario Draghi stands out. The president of the ECB is expected to speak at a banking event in Frankfurt and his speech comes just a few days after the ECB left monetary policy unchanged.

Latest figures from the German statistics office Destatis showed that industrial production in Germany expanded strongly in the month of January beating forecasts. Industrial output increased 2.8% during the month, adjusting for seasonal swings and beat the market forecasts of a 2.5% increase.

The euro was trading volatile yesterday first falling to a 7-day session low before recovering by mid-U.S. trading session. The volatility came with a mixed of economic reports and market jitters on the Trump administration and the policies.

It is a slow trading day today with not much of economic reports to go by. In a quiet trading session, the scheduled speech by ECB President, Mario Draghi due later this evening will be in focus.

Investor confidence in the Eurozone is expected to tick higher to 12.6 after falling to 10.0 in December. The renewed optimism is expected to come after various preliminary indicators suggested a moderate increase in business activity across various sectors.

The final revised GDP figure for the third quarter in the U.S. is due for release today at 13:30 GMT. Forecasts point to another modest revision higher to reflect a 3.3% quarterly GDP growth.

Lot of economic releases on the tap today, culminating with the FOMC rate hike decision later. Investors and traders will be looking to a very busy session in the U.S. today as lots of economic releases are in store, which is later followed up by the high impact FOMC rate hike decision.

ECB president Mario Draghi will be testifying to the EU parliament in Brussels today, which could offer some volatility to EURUSD.

The single currency is likely to see a lot of volatility today, especially after the US trading session opens.

EUR/USD Preparing for a move lower to reinforce recent ranges today

Possible head and shoulders pattern

61.8% retracement nice place for call options

EURUSD did nothing but moving to the downside

EURUSD is bullish from current levels

The Euro climbed towards 1.0835

The liquidity is still affected by the winter holidays.

Yesterday EUR/USD dropped without apparent reason and slowly retraced higher during the Asian session.

The pair is currently in a consolidation pattern above 1.0925 and today no major economic data is released so we expect choppy price action.