EUR/USD & CPI (YoY): A bottom in the Euro is already placed?

Today at 09:00 GMT will be released the CPI for September on a yearly basis for Europe and it seems that the reading will remain unchanged for this time and this week, we’ll have some action from the ECB, as their interest rate decision will take place on Thursday. Officials have been closely watching for the data mentioned above, but one could expect some volatility during the release, because of recent Euro’s selling pressure.

The technical picture for EUR/USD at H4 chart is very bearish, as the pair already managed to consolidate below the 500 SMA and at the end of last week, we saw that the price closed below the 1.10 psychological level. The nearest support is placed at the 1.0955 level and a breakout lower should expose the 1.0909 level. However, if EUR/USD does a strong rebound at the current stage, it should face a key resistance around 1.1043.