Forex: EUR/USD flat around 1.27; Greece in focus (San Francisco) - EUR/USD is facing some early downward pressure in Asia, but remains virtually unchanged from the NA close, last at 1.2705. On the fundamental front, the spotlight has shifted back to Greece: the European officials and the IMF failed to agree on a long-term deal on Greece, which is stalling the payment of bailout funds to Athens. As Valeria Bednarik, Chief Analyst at explains, “the indebted economy may need up to 2016 to achieve its fiscal objectives, according to the European Commission and the ECB, and some extra €33B.”

Ms. Bednarik on EUR/USD technicals: “For the short term, the bearish stance remains in place, as recovery attempts remained capped below 1.2740/50 area, 38.2% retracement of its latest bullish run, and immediate resistance level; a break below 1.2690, past Friday low, will expose next Fibonacci support, 50% of the same rally around 1.2610.” Should spot rally above the1.2750 area, further resistance is noted at 1.2785 and 1.2810.