EUR/USD recovers strongly as US Dollar corrects, US-China trade talks in focus

• EUR / USD recovers nearly 1,1300 while the US dollar withdrew by almost a month.
• Investors focus on American-Chinese trade negotiations on Saturday, with us, Lutnick, saying that he is confident of a de-escalation in the Sino-Us trade war.
• The BCE Rehn says that the disturbance of the euro zone is intact and that the economic prospects are dark.

EUR / USD bounces to nearly 1,1300 during North American negotiation hours on Friday, against more than three weeks, around 1,1200 earlier during the day. The main pair of currencies rebounds as US dollar (USD) retracts in the midst of caution before commercial talks between the UNITED STATES (United States) and China due on Saturday.

The US dollar index (DXY), which assesses the value of the greenback against six main currencies, corrects nearly 100.40, compared to almost 100.85 displayed earlier during the day.

Investors will pay particular attention to the American-Chinese trade discussions in Switzerland on Saturday. China is the second largest American import market after Mexico, according to the American Commerce International Trade Database. In addition, the trade war between Washington and Beijing is the key trigger behind the downward revisions of global economic growth, given the competitive advantage of China labor costs.

The White House has expressed its confidence that the pricing war between the United States and China will move after the meeting. “Relax and contribution price Below, China’s goal, ”said US Secretary of the US Trade Thursday in an interview with CNBC. Lutnick also demonstrated that Washington “would deploy more transactions over the next month.” His comments came after the announcement of the US-UNITED Kingdom (UK) trade agreement.

Meanwhile, US President Donald Trump said China's prices could be lowered to 80% thanks to an article on the truth. “The 80% price on China seems right! It's at Scott Bessent,” said Trump.

Daily Digest Market Movers: EUR / USD Gains at US Dollar fees

• The move of the resumption in the EUR / USD pair is also fired by the outperformance of the Euro (EUR) against its peers on Friday. The euro advances despite the officials of the European Central Bank (ECB) showing the confidence that inflation is on the right track to return to the target of the Central Bank by 2% and concerns about economic prospects.
• “Disinflation is on the right track and growth prospects are weakening, in case this is confirmed in our June forecasts, then in my opinion in order to achieve our objective of symmetrical inflation to 2% in the medium term, the right reaction in monetary policy is to reduce rates,” reported Bloomberg and Bloomberg. Generally, the EUROPORFORME EURO when ECB officials promote the expansion of monetary policy.
• Meanwhile, investors are waiting for the United States's response concerning Thursday the price countermeasures announced by the European Union Commission (EU). During European negotiation hours, the member of the BCE governance council Gediminas Šimkus said that “the inflation of the euro zone depends on the reprisals of the EU in the United States.“”
• On Thursday, the European Commission launched a public consultation document which contains possible countermeasures in response to American prices. The document showed countermeasures on up to 95 billion euros in American imports if commercial negotiations fail to provide a satisfactory result for the block, which is just under 100 billion euros reported Tuesday by Bloomberg.

Technical analysis: EUR / USD rebounds strongly from the 20 -day EMA

EUR / USD continues to find offers near the 20 -day exponential mobile average (EMA) approximately 1,1,250.

The relative resistance index of 14 days (RSI) remains inside the beach from 40.00 to 60.00, indicating that the bullish momentum is concluded for the moment. However, the upward bias still prevails.

By raising the eyes, the psychological level of 1,1500 will be the main resistance of the pair. Conversely, the summit of April 3 of 1.1145 will be a key support for Euro Bulls.