EUR/USD ends the week near 2016 lows after ECB
|
EUR/USD pulled back sharply from weekly highs and is on track to close the day near 2016 lows in the wake of European Central Bank decision to extend its QE programme although at a slower pace till December 2017.
The US dollar was the main beneficiary in the FX space, strengthening across the board in the ECB aftermath. EUR/USD dropped more than 350 pips over the last sessions and hit a low of 1.0530 on Friday. The pair was last trading around 1.0550, down 0.74% on the day and 1.09% lower for the week.
Now focus turns to next week’s Fed decision next Wednesday, with a 25 bps rate hike mostly priced in among investors.
EUR/USD levels to watch
In terms of technical levels, next supports are seen at 1.0519 (Nov 24 low) ahead of its 1-year low of 1.0504 (2016 low, Dec 5) and 1.0499 (Dec 3 2015 low). On the flip side, resistances could be found at 1.0629 (Dec 9 high), 1.0795 (Dec 5 high), 1.0869 (50-day SMA) and 1.0923 (Nov 11 high).
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.