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EUR/USD Forex News: The bulls controlled most of Friday’s trading session on the back of a slightly better than anticipated value of the German Consumer Price Index. However, the pair is still trading in a range and resistance is not clearly broken. Technical Outlook Last week’s price action increases dramatically the chances of a breakout which will most likely occur this week, but the direction is hard to predict. Price just bounced between 1.3585 support and 1.3640 resistance and neither bulls nor bears made clear attempts to take control of direction. The encounter with resistance seen Friday may generate a bounce lower and a potential break of the uptrend line but if the pair continues upwards, it will encounter strong resistance at 1.3675. Fundamental Outlook At 9:00 am GMT the Euro Zone Consumer Price Index is released and anticipated to increase from 0.5% to 0.6%. If this comes true (or if higher numbers are posted), the Euro will most likely strengthen against the US Dollar and we will have a bullish day. At 2:00 pm GMT the US Pending Home Sales are announced, showing the change in the number of houses which still await the closing transaction. The forecast is for an increase from 0.4% to 1.4%, a fact which would be considered beneficial for the greenback. GBP/USD United Kingdom’s Final version of the Gross Domestic Product came out Friday with the anticipated value of 0.8%, a fact which generated mixed price action and overall a ranging day.\ Technical Outlook Resistance sits at 1.7063 but the bulls seem to lack the needed power to break it and to renew the uptrend. For today’s price action we expect more ranging movement, with price confined between the support at 1.6996 (1.7000) and the resistance just mentioned. Fundamental Outlook The United Kingdom didn’t schedule any major indicator releases today and the pair’s direction will be mainly affected by American data and by the technical aspect.

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