26 Jul 2013
EUR/USD recaptured the bullish flag Thursday – marching towards eventual test of 1.3417.
FXstreet.com (Barcelona) - The EUR/USD resumed its upward track Thursday after pausing for just one session on Wednesday. Driven by data flow and US Fed rumors, the cross finished near the highs of the day at just under 1.3300.
EUR/USD should see more volatility Thursday as more data due out in Europe and the US
The EUR/USD rallied for most of the day rallying after softer economic data out of Germany and the EU was outweighed by lower-than expected weekly jobless claims data and in-line durable goods data in the US. The rally picked up steam later in the day on rumors that the Federal Reserve would keep its $85Bn monthly rate of its bond buying program in in place when they meet next week.
It is a fairly light economic calendar due out for the EU and the US Friday with only the University of Michigan Consumer Sentiment Index due out in the US at 13:55 GMT.
Technical outlook for EUR/USD
Technicians remain bullish of the EUR/USD in the short-term with an upside target of 1.3417 - which is key "correction resistance. Very short-term resistance comes in at Fibonacci projections at 1.3321 and 1.3364. Short-term support comes in at Thursday’s low of 1.31649 and is followed by additional support at the 7/18 closing low of 1.3107.
EUR/USD should see more volatility Thursday as more data due out in Europe and the US
The EUR/USD rallied for most of the day rallying after softer economic data out of Germany and the EU was outweighed by lower-than expected weekly jobless claims data and in-line durable goods data in the US. The rally picked up steam later in the day on rumors that the Federal Reserve would keep its $85Bn monthly rate of its bond buying program in in place when they meet next week.
It is a fairly light economic calendar due out for the EU and the US Friday with only the University of Michigan Consumer Sentiment Index due out in the US at 13:55 GMT.
Technical outlook for EUR/USD
Technicians remain bullish of the EUR/USD in the short-term with an upside target of 1.3417 - which is key "correction resistance. Very short-term resistance comes in at Fibonacci projections at 1.3321 and 1.3364. Short-term support comes in at Thursday’s low of 1.31649 and is followed by additional support at the 7/18 closing low of 1.3107.