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5 Jul 2013
EUR/USD consolidates below 1.2900
FXstreet.com (Edinburgh) - The shared currency is following the increasing risk-off tone prevailing in the markets, pushing the EUR/USD to test Thursday’s lows in the boundaries of 1.2880.
EUR/USD downside exposed near-term
Undoubtedly yesterday’s ECB’s statement hurt badly the euro sentiment, although in light of the recent improvements in the euro area fundamentals, the new forward guidance may be put to the test in a 3-6 months horizon. “So the willingness of the ECB to convey the potential for more easing is very important and should certainly help anchor yields over the coming months, even if US employment picks up”, suggested Derek Halpenny, European Head of Global Markets Research at BTMU.
EUR/USD key levels
The pair is now losing 0.29% at 1.2875 with the next support at 1.2859 (weekly cloud top) ahead of 1.2838 (low May 29) and finally 1.2821 (low May 23). On the upside, a break above 1.3015 (MA10d) would expose 1.3032 (high Jul.3) and then 1.3047 (MA100d).
EUR/USD downside exposed near-term
Undoubtedly yesterday’s ECB’s statement hurt badly the euro sentiment, although in light of the recent improvements in the euro area fundamentals, the new forward guidance may be put to the test in a 3-6 months horizon. “So the willingness of the ECB to convey the potential for more easing is very important and should certainly help anchor yields over the coming months, even if US employment picks up”, suggested Derek Halpenny, European Head of Global Markets Research at BTMU.
EUR/USD key levels
The pair is now losing 0.29% at 1.2875 with the next support at 1.2859 (weekly cloud top) ahead of 1.2838 (low May 29) and finally 1.2821 (low May 23). On the upside, a break above 1.3015 (MA10d) would expose 1.3032 (high Jul.3) and then 1.3047 (MA100d).