EURUSD technical analysis 31.01.2020

The pair is consolidating at 1.1020 in anticipation of the eurozone consumer inflation data whose monthly value is expected to decrease. If this is confirmed, the pair will continue to drop, but if inflation grows, it will lead to a local price increase.

The price is above the middle Bollinger band, below SMA 5, but above SMA 14. RSI is below the 50% level and is declining. Stoch are dropping also down.

Trading recommendations:

Sell the pair amid weak inflation data with a likely decline to 1.0980. At the same time, positive values will lead to an increase in the pair to 1.1065.