EURUSD buy after resistance tested

5 Mar 2021

After Jerome Powell gave zero support to the bond market, 10-year treasury yields continued to climb higher to the level where foreign investors' attractiveness is getting more pronounced. Thus, the Dollar gets more support in the short-term to rebalance the bond market to a higher yield regime. On EURUSD, we are sitting at a long-term support level based on the risk range; breaking it will cause more deflation concerns than inflation in the US.