The EUR/USD pair advanced to 1.1840, its highest for the week. The dollar declined against all of its major rivals in anticipation of the US Federal Reserve monetary policy announcement. The greenback fell despite increased demand for safety, which resulted in falling equities and easing government bond yields.
Dismal US data added to pressure on the American currency, as Durable Goods Orders were up 0.8% MoM in June, much worse than the 2.1% expected. The core reading, Nondefense Capital Goods Orders ex Aircraft, surged 0.5%, also missing expectations. On a positive note, CB Consumer Confidence improved to 129.1 from an upwardly revised 128.9 in June.
On Wednesday, the focus will be on the Fed. The central bank is expected to maintain its monetary policy on hold while drawing the first lines on soon-to-come tapering, probably for the final quarter of the year. Worth noting that the rising number of coronavirus contagions in the US may pose a risk that the Fed would not ignore.
EUR/USD Short (Sell)
ENTER AT: 1.18030