Euro remains in a sideways mode and awaiting signals from EU economic data

The Euro turned to weakness in early Tuesday’s trading, following Monday’s tight daily Doji on holiday-thinned volumes.
Fresh easing probes again through key support at 1.0679 (top of rising daily Ichimoku cloud / Fibo 23.6% of 0.9535/1.1032), which contained a number of attacks in past two weeks and marking solid support.
The pair is trading in extended consolidation after a steep bear-leg from 1.1032 (2023 peak, posted on Feb 2) and awaiting clearer direction signals.
Technical studies on daily chart are mixed, as impact from rising negative momentum and moving averages (10/20/55) in bearish configuration is countered by support from rising thick daily cloud and 100/200DMA bull-cross, with neutral mode being confirmed by last week’s long-legged Doji candle.
Fundamentals are likely to be the main driver as situation on geopolitical stage is heating, following US President Biden’s visit to Ukraine on Tuesday and expected visit of China’s top official to Moscow today.
A number of economic releases from the EU is in focus today, with EU / German PMI’s and German ZEW economic conditions data, eyed for fresh signals.
Forecasts for all indicators in February are above previous month’s figures, with releases at / above consensus to signal improving conditions in the EU economy and offer fresh support.
Conversely, releases below expectations would add to persisting worries about weakening bloc’s economy and recession fears.
Bearish scenario requires firm break of 1.0679 pivot to accelerate bears towards next significant supports at 1.0460/11 (Fibo 38.2 / daily cloud base), while lift above initial barriers at 1.0700 zone (10/55 DMA’s) would expose key resistances at 1.0776/1.0800 (20DMA / Feb 14 lower top).

Res: 1.0705; 1.0776; 1.0803; 1.0872
Sup: 1.0612; 1.0582; 1.0483; 1.0460