EUR/USD faded the earlier spike, back around 1.2380 on ZEW
|- The pair eases from earlier tops above the 1.2400 handle.
- USD rebounds from lows near the 89.20 region and now tests 89.40.
- German/EMU ZEW survey came in below expectations in April.
After briefly testing fresh daily highs beyond 1.2400 the figure, EUR/USD has now come under renewed selling pressure and has returned to the 1.2385/80 band.
EUR/USD weaker on ZEW
The pair accelerated the downside after the ZEW Survey in Germany and the euro area came in below expectations for the month of April.
In fact, German Current Conditions came in at 87.9 and Economic Sentiment at -8.2 vs. forecasts at 88.0 and -0.8, respectively. In addition, Economic Sentiment in Euroland dropped to 1.9, missing consensus and down from March’s 13.4.
Adding to the pair’s corrective mood, the greenback managed to rebound from daily lows in the 89.20 region when measured by the US Dollar Index (DXY) and is now flirting with the 89.40 zone.
Data wise later in the NA session, US Housing Starts and Building Permits are due, seconded by Industrial and Manufacturing Production.
Furthermore, San Francisco Fed John Williams (voter, centrist), R.Quarles, Philadelphia Fed P.Harker (non voter, hawkish) and Chicago Fed C.Evans (2019 voter, dovish) area all due to speak later in the NA session.
EUR/USD levels to watch
At the moment, the pair is gaining 0.02% at 1.2382 facing the immediate resistance at 1.2414 (high Apr.17) followed by 1.2478 (high Mar.27) and then 1.2538 (high Jan.25). On the downside, a breakdown of 1.2300 (low Apr.12) would target 1.2214 (low Apr.6) en route to 1.2153 (low Mar.1).
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.