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20 Feb 2014
EUR/USD reclaims 1.3700
FXStreet (Edinburgh) - The buying interest is now lifting the EUR/USD through the 1.3700 handle on Thursday, after dipping to intraday lows near 1.3680.
EUR/USD attention to the US docket
The next risk event for the EUR would be the US data releases, with consumer prices and the weekly report on the labout market taking centre stage. The pair found decent support in the high 1.36s, managing to recover the 1.3700 mark and beyond so far. Mixed-to-negative results from the PMIs in the euro members took a toll on the EUR, dragging spot from the mid 1.37s area. In light of recent data in the euro area, Analyst Martin van Vliet at ING Bank NV, commented, “today’s data are a reminder of the fragility and unevenness of the recovery and the further weakening in the Chinese PMI and the relatively strong euro do not bode well for export growth momentum going forward. With inflation low and a sustained Eurozone recovery not yet assured, a further small cut in the refi-rate might still be on the cards, but perhaps not as soon as March”.
EUR/USD levels to watch
As of writing the pair is losing 0.22% at 1.3701 with the next support at 1.3695 (low Feb.18) ahead of 1.3685 (low Feb.17). On the upside, the initial hurdle lines up at 1.3773 (high Feb.19) followed by 1.3777 (high 2014 Jan.2) and finally 1.3796 (76.4% of 1.3894-1.3477).
EUR/USD attention to the US docket
The next risk event for the EUR would be the US data releases, with consumer prices and the weekly report on the labout market taking centre stage. The pair found decent support in the high 1.36s, managing to recover the 1.3700 mark and beyond so far. Mixed-to-negative results from the PMIs in the euro members took a toll on the EUR, dragging spot from the mid 1.37s area. In light of recent data in the euro area, Analyst Martin van Vliet at ING Bank NV, commented, “today’s data are a reminder of the fragility and unevenness of the recovery and the further weakening in the Chinese PMI and the relatively strong euro do not bode well for export growth momentum going forward. With inflation low and a sustained Eurozone recovery not yet assured, a further small cut in the refi-rate might still be on the cards, but perhaps not as soon as March”.
EUR/USD levels to watch
As of writing the pair is losing 0.22% at 1.3701 with the next support at 1.3695 (low Feb.18) ahead of 1.3685 (low Feb.17). On the upside, the initial hurdle lines up at 1.3773 (high Feb.19) followed by 1.3777 (high 2014 Jan.2) and finally 1.3796 (76.4% of 1.3894-1.3477).