EURUSD remains constructive and eyes pivotal Fibo barrier, FOMC minutes in focus

EURUSD regained traction in early European trading after a quiet Asian session and keeps bullish near-term stance.

Recovery leg from new yearly low (1.0448, Oct 3) extends into sixth straight day, with the action being supported by recent dovish shift in comments from Fed officials.

German inflation fell further in September, providing some relief to the ECB, while traders shift focus to US PPI data and FOMC minutes (due later today) and US CPI report for September (due on Thursday) which would provide fresh direction signals.

Technical studies on daily chart improved, but remain bearish overall, with overbought stochastic and 14-d momentum still in negative territory and warning that recovery may face increased headwinds.

Bulls eye pivotal barriers at 1.0638/43 (Fibo 38.2% of 1.0945/1.0448 / falling 30DMA), break of which would generate fresh bullish signal for further recovery.

Immediate bulls remain intact above broken 20DMA (1.0590), though near-term bias is expected to stay with bulls while the action holds above north turning 10DMA (1.0550).

Res: 1.0638; 1.0673; 1.0700; 1.0756
Sup: 1.0590; 1.0565; 1.0550; 1.0482