The EUR/USD starts the week with a slightly positive tone, as market concerns over Greece and the US fiscal cliff eased over the weekend, sending the pair to an intraday high of 1.2786 so far. Tomorrow, the EU FinMin will decide if Greece will get 2 extra years to meet its budget targets and therefore, buy more time for the troubled country. Market players are optimistic yet not enough: the upside continues to be capped by 1.2800 static resistance level, and only steady gains above that level will open doors for further recoveries, heading towards 1.2880/90 area. The 4 hours chart shows also a positive tone according to technical readings, as indicators head north above their midlines and 20 SMA offers short term support around 1.2750.
The downside is being limited by 1.2720/30 area and unless below, bulls will keep control of the pair. View Live Chart for EUR/USD