FXstreet.com (Córdoba) - The euro managed to stage a strong bounce against the dollar from a 3-week low of 1.2803 and rose over 130 pips throughout the day, propelled by markets optimism and positive economic data.
A much better-than-expected US ISM manufacturing PMI sparked a new wave of risk appetite during the New York session, and took EUR/USD to a high of 1.2937 before losing momentum. At time of writing, EUR/USD is trading at the 1.2900/10 zone, still up 0.4% on the day.
"A daily descendant trend line, coming from 1.3172 is located today around 1.2940, offering some resistance in case of more gains, although a break higher will likely increase the upward potential with price then looking for a ride towards the 1.3000 area", says Valeria Bednarik, chief analyst at FXstreet.com.
As for technical levels, Bednarik locates immediate resistances at 1.2940, 1.2985 and 1.3010, while she sees next supports at 1.2880 and 1.2845.
A much better-than-expected US ISM manufacturing PMI sparked a new wave of risk appetite during the New York session, and took EUR/USD to a high of 1.2937 before losing momentum. At time of writing, EUR/USD is trading at the 1.2900/10 zone, still up 0.4% on the day.
"A daily descendant trend line, coming from 1.3172 is located today around 1.2940, offering some resistance in case of more gains, although a break higher will likely increase the upward potential with price then looking for a ride towards the 1.3000 area", says Valeria Bednarik, chief analyst at FXstreet.com.
As for technical levels, Bednarik locates immediate resistances at 1.2940, 1.2985 and 1.3010, while she sees next supports at 1.2880 and 1.2845.
