EUR/USD: Above 50-day MA for the first time since mid April, eyes Draghi speech

  • EUR/USD moved above the 50-day MA in Asia rose to a three-week high of 1.1767. 
  • ECB president Mario Draghi speaks to the European Parliament’s ECON committee.

The EUR/USD posted solid gains after the NFP release on Friday and moved convincingly above the 50-day moving average (MA) in Asia. 

As of writing, the currency pair is trading at 1.1765. 

The relentless flattening of the Treasury yield curve is likely weighing over the US dollar. Currently, the spread between the US 10-year and 2-year treasury yield stands at 28 basis points - the lowest level since August 2007.

Focus on Draghi speech

Mario Draghi, President of the European Central Bank (ECB), is scheduled to testify before the Committee on Economic and Monetary Affairs of the European Parliament about the economy, monetary policy, and virtual currencies in Brussels.

The EUR pairs could turn volatile during Draghi's speech and the common currency may pick up a strong bid if the central bank chief sounds hawkish on interest rates

EUR/USD Technical Levels

Resistance: 1.18 (psychological hurdle), 1.1852 (July 14 high), 1.1915 (Jan. 9 low). 

Support: 1.1738 (50-day MA), 1.1702 (5-day moving average), 1.1660 (10-day moving average). 

15M Bullish Neutral Shrinking
1H Neutral Low
4H Overbought High
1D Bullish Overbought Low
1W Bearish Neutral 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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

EUR/USD drops below 1.1300 for the first time in two weeks

Euro held up well on Monday despite the market’s deeply risk-off tone, with the pair finding good dip-buying interest when it hit the 1.1300 level earlier in the session and recovering to trade flat on the day in the 1.1320s.


GBP/USD extends daily slide toward 1.3450

GBP/USD continues to stretch lower toward mid-1.3400s on Monday as the mood continues to sour. Wall Street's main indexes are down between 1.7% and 2.1% after the disappointing PMI data from the US.


XAU/USD bulls moving in on the psychological $1,850

Gold is headed for a positive close on Monday following a heavily risk-off session and a run for safer havens. At the time of writing, gold is up 0.3% after climbing from a low of $1,829.76 and reaching a high of $1,844.37 so far with eyes on the psychological $1,850 level. 

Gold News

Crypto carnage continues to unfold

Bitcoin price has witnessed a massive crash over the past week, undoing the gains seen since July 25. Ethereum, Ripple and other altcoins have followed suit, experiencing an even worse crash. 

Read more

US: Markit Services PMI falls to 50.9 versus 55.0 expected

Manufacturing, Services and Composite PMI all fell to their lowest levels since 2020. There didn't seem to be much reaction at the time but the downbeat data likely won't help the market's mood improve. 

Read more