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23 Jan 2015
EUR/USD in recovery mode, eyes on 1.1300?
FXStreet (Edinburgh) - The shared currency keeps reclaiming ground lost in early trade, now lifting EUR/USD back to the upper-1.1200s.
EUR/USD supported at 1.1100
The pair seems to have found decent support in the vicinity of 1.1100 the figure today, all framed within the intensified bearish scenario after yesterday’s announcements by the ECB. In spite of the ongoing downside - which is wrapping its sixth consecutive week – and to add some colour to the beleaguered currency, preliminary figures from the manufacturing/services PMI in the euro area showed an auspicious advance for the month of January, leaving behind previous estimates.
With the effects of the recent ECB decision poised to extend further into the medium term, the next test for the pair will be the FOMC. Against the backdrop of a strong dollar and lower consumer prices (gauged by headline CPI), speculations are on the rise regarding the likeliness of the FOMC striking a dovish tone next week.
EUR/USD key levels
At the moment the pair is losing 0.79% at 1.1271 with the next support at 1.1115 (2015 low Jan.23) followed by 1.1100 (psychological level) and then 1.1047 (low Sep.8 2003). On the flip side, a breakout of 1.1291 (hourly high Jan.23) would aim for 1.1376 (high Jan.23) and then 1.1393 (hourly high Jan.22).
EUR/USD supported at 1.1100
The pair seems to have found decent support in the vicinity of 1.1100 the figure today, all framed within the intensified bearish scenario after yesterday’s announcements by the ECB. In spite of the ongoing downside - which is wrapping its sixth consecutive week – and to add some colour to the beleaguered currency, preliminary figures from the manufacturing/services PMI in the euro area showed an auspicious advance for the month of January, leaving behind previous estimates.
With the effects of the recent ECB decision poised to extend further into the medium term, the next test for the pair will be the FOMC. Against the backdrop of a strong dollar and lower consumer prices (gauged by headline CPI), speculations are on the rise regarding the likeliness of the FOMC striking a dovish tone next week.
EUR/USD key levels
At the moment the pair is losing 0.79% at 1.1271 with the next support at 1.1115 (2015 low Jan.23) followed by 1.1100 (psychological level) and then 1.1047 (low Sep.8 2003). On the flip side, a breakout of 1.1291 (hourly high Jan.23) would aim for 1.1376 (high Jan.23) and then 1.1393 (hourly high Jan.22).