5 May 2014
EUR/USD unmotivated near 1.3880
FXStreet (Edinburgh) - Monday’s apathetic and boring session is finally drawing to a close, with the EUR/USD in the same place where it’s started this morning in Asia: around 1.3880.
EUR/USD eyes on services PMIs
Moving forward to Tuesday’s docket, final services PMI prints in the euro area plus EMU’s retail sales will grab all the attention amongst traders, ahead of US trade balance figures and the speech by Fed’s Stein. “Although we maintain the view that improving US data – hence higher US rates – will curb the EUR in the coming months, in the short-term there is risk that the pair tests 1.40 again on the ECB's inaction this week, especially if the press conference fails to signal a cut in rates or any other loosening action is forthcoming”, assessed Shaun Osborne, Chief FX Strategist at TD Securities.
EUR/USD levels to consider
The pair is now advancing 0.04% at 1.3876 and a breakout of 1.3889 (high May 1) would open the door to 1.3906 (high Apr.11) and then 1.3935 (high Mar.19). On the flipside, the immediate support lines up at 1.3844 (10-d MA) followed by 1.3832 (21-d MA) and finally 1.3812 (low May 2).
EUR/USD eyes on services PMIs
Moving forward to Tuesday’s docket, final services PMI prints in the euro area plus EMU’s retail sales will grab all the attention amongst traders, ahead of US trade balance figures and the speech by Fed’s Stein. “Although we maintain the view that improving US data – hence higher US rates – will curb the EUR in the coming months, in the short-term there is risk that the pair tests 1.40 again on the ECB's inaction this week, especially if the press conference fails to signal a cut in rates or any other loosening action is forthcoming”, assessed Shaun Osborne, Chief FX Strategist at TD Securities.
EUR/USD levels to consider
The pair is now advancing 0.04% at 1.3876 and a breakout of 1.3889 (high May 1) would open the door to 1.3906 (high Apr.11) and then 1.3935 (high Mar.19). On the flipside, the immediate support lines up at 1.3844 (10-d MA) followed by 1.3832 (21-d MA) and finally 1.3812 (low May 2).