FXstreet.com (Barcelona) - The EUR/USD continues lying around at 1.2410 area after the results of the Spanish 12 and 18-month bond auction. The Spanish government sold €3.53B of 12-month debt at 3.070% (from 3.918% previously) and €0.98B of 18-month debt at 3.335% (from 4.242%). The bid to cover ratio was of 1.9 (from 2.2) and 4.0 (from 3.7), respectively.
The pair had rallied almost 50 pips on the European opening on account of Fitch Riley’s comments about ECB action, his optimistic outlook regarding Europe and the no-need of further austerity in Italy.
“Immediate focus turns towards key short-term barrier at 1.2441, 06/07 Aug double top, break of which is required resume recovery off 1.2042, 24 July low and expose psychological 1.2500 barrier”, wrote Windsor Brokers analyst Slobodan Drvenica, pointing to support at previous resistance of 1.2400/1.2380.
The pair had rallied almost 50 pips on the European opening on account of Fitch Riley’s comments about ECB action, his optimistic outlook regarding Europe and the no-need of further austerity in Italy.
“Immediate focus turns towards key short-term barrier at 1.2441, 06/07 Aug double top, break of which is required resume recovery off 1.2042, 24 July low and expose psychological 1.2500 barrier”, wrote Windsor Brokers analyst Slobodan Drvenica, pointing to support at previous resistance of 1.2400/1.2380.
