Double Bottom Pattern In EUR/USD – US PPI In Focus for a Breakout!

The US dollar consolidated as markets remained cautious about trade discussions between the United States and Canada, and extended weakness in China’s currency weighed on the sentiment.

At one moment, the dollar is going higher upon trade war and coming down in the next over eased remarks from the world’s biggest economies. Due to this, the major currency pair EUR/USD is also stuck in a narrow range of $1.1565 – $1.1615. Can we expect a breakout?

The U.S. economy is expected to release the PPI data in an hour from now at 13:30 (GMT). The current PPI figure is anticipated to grow by 0.2% m/m in Aug vs. 0.0% growth in July.

Weaker PPI figure can cause a bullish movement in the EUR/USD until $1.1615 and $1.1635. The violation of 1.1565 can cause a drop towards 1.1535.