Today's review of the main currency pair of the Forex market would like to start with information about the COVID-19 pandemic. In the United States of America, the country most affected by the coronavirus epidemic, vaccination of the population is taking leaps and bounds. More than 95 million Americans had been vaccinated since December last year. In this regard, the authorities of individual States are gradually relaxing or even canceling the restrictions they have previously imposed. So, in some States, it is no longer necessary to use protective masks if a person is in the open air and not in a mass gathering of other people. Currently, the main problem for the United States in terms of vaccination is the need to convince young people to get vaccinated against COVID-19. In general, the vaccination campaign in America is quite successful. It is also stated by US President Joe Biden, who notes the incredible success in vaccinating the population and the gradual return of American life to its usual course.

In Europe, the initial failure in the supply of vaccines and vaccination companies are struggling to level out. And to be fair, a lot of things have changed for the better. The EU authorities are well aware that the Chinese economy and the US economy have recovered faster from the effects of COVID-19 and are showing an enviable pace of recovery or even growth. In this regard, the finance ministers of France and Germany believe that the EU needs to overcome the consequences of the coronavirus epidemic as quickly as possible to keep up with the first and second world economies.

In the meantime, market participants are waiting for the results of the two-day meeting of the Federal Reserve and the press conference of the head of this department, Jerome Powell. As noted earlier, since rates are likely not to be revised and will remain at current values, the main attention of investors will be drawn to the rhetoric of the Fed chairman's speech. The "hawkish" tone of Powell's speech will allow us to count on the fact that the Fed will move faster than expected to tighten its monetary policy, which implies an increase in interest rates, and therefore a rise in the dollar. If Powell's tone is soft and again notes that it will take a long time to normalize monetary policy, the markets will be disappointed, and the US dollar will come under selling pressure. In the meantime, let's look at the price charts for EUR/USD.

Daily

At yesterday's daily candle, the question arises: "What was it?". The answer is simple to the point of banality. These are expectations of the outcome of the Fed meeting and the speech of Jerome Powell, which bring nervousness and uncertainty to the course of trading. After yesterday's fall into the previously strong support zone of 1.2060-1.2050, the pair found the strength to turn in the north direction and end the session on April 27 at 1.2089. It would seem that the market is not eager to trade below the price range of 1.2060-1.2050. However, at the end of the article, the pair have again fallen into this strong support area and tested it for a breakdown. However, at the moment, it would be extremely incorrect to judge anything or draw any conclusions.

Naturally, the trading results will depend entirely on the events related to the Fed and the reaction of market participants to them. Jerome Powell will exercise caution and refrain from "hawkish" rhetoric in the author's personal opinion. It seems that his speech will have a "neutral-dove" tone. If this assumption turns out to be correct, the US dollar risks being under a wave of sales, which means that you can try buying EUR/USD after short-term falls in the price zone of 1.2045-1.2030. The reverse pattern is also possible, in which a decline will replace the initial rise to the resistance area of 1.2092-1.2115. In this case, this area can be considered for potential sales of the euro/dollar. The day, especially in the evening, is very difficult for trading, so be careful. Well, for those who do not want to take risks, I recommend staying out of the market today. Tomorrow, we will sum up the results and analyze the market reaction to today's evening events.