EUR/USD dips below 50-DMA, clocks four-day low

Omkar Godbole FXStreet Contributor

EUR/USD dipped below 50-DMA to clock a four-day low of 1.0585 as markets continue to offer the common currency in response to Greek crisis and heightened political uncertainty in France.

Greece needs to implement reforms

Euro zone finance ministers poured cold water on Monday on a quick agreement that would unlock further aid payments to Greece. However, both parties did agree to continue discussions in the coming days.

Creditors are demanding that Greece institute tax, pension and labour reforms before they will sign off on an agreement.

France-German yield spread continues to widen

Meanwhile, the French Presidential election is now a four-way race up for grabs. In response to the heightened political uncertainty, the France-German 10-year yield spread widened to 78 basis points on Monday.

Politics could continue to dominate economics today. Still, the preliminary PMI readings due for release across the Eurozone are worth a watch, especially for clues regarding build up of inflationary pressures.

EUR/USD Technical Levels

The spot was last seen trading around 1.0590. A lift above 50-DMA of 1.06 could yield a re-test of 1.0623 (10-DMA), above which a major hurdle is noted at 1.0677 (Feb 17 high). On the downside, breakdown of support at 1.0561 (Feb 14 low) would open doors for a sell-off to 1.0521 (Feb low) and to 1.05 (zero figure) levels.

	TREND INDEX	OB/OS INDEX	VOLATILY INDEX
15M	Bullish	Neutral	Low
1H	Bearish	Neutral	Shrinking
4H	Bearish	Neutral	Low
1D	Strongly Bearish	Neutral	Expanding
1W	Bearish	Neutral	Low
Updated Feb 17, 13:30 GMT

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD flirts with daily highs, retargets 1.1900

EUR/USD regains upside traction, returning to the 1.1880 zone and refocusing its attention to the key 1.1900 barrier. The pair’s slight gains comes against the backdrop of a humble decline in the US Dollar as investors continue to assess the latest US CPI readings and the potential Fed’s rate path.

GBP/USD remains well bid around 1.3650

GBP/USD maintains its upside momentum in place, hovering around daily highs near 1.3650 and setting aside part of the recent three-day drop. Cable’s improved sentiment comes on the back of the Greenback’s irresolute price action, while recent hawkish comments from the BoE’s Pill also collaborate with the uptick.

Gold clings to gains just above $5,000/oz

Gold is reclaiming part of the ground lost on Wednesday’s marked decline, as bargain-hunters keep piling up and lifting prices past the key $5,000 per troy ounce. The precious metal’s move higher is also underpinned by the slight pullback in the US Dollar and declining US Treasury yields across the curve.

Crypto Today: Bitcoin, Ethereum, XRP in choppy price action, weighed down by falling institutional interest

Bitcoin's upside remains largely constrained amid weak technicals and declining institutional interest. Ethereum trades sideways above $1,900 support with the upside capped below $2,000 amid ETF outflows.

Week ahead – Data blitz, Fed Minutes and RBNZ decision in the spotlight

US GDP and PCE inflation are main highlights, plus the Fed minutes. UK and Japan have busy calendars too with focus on CPI. Flash PMIs for February will also be doing the rounds. RBNZ meets, is unlikely to follow RBA’s hawkish path.

Ripple Price Forecast: XRP potential bottom could be in sight

Ripple edges up above the intraday low of $1.35 at the time of writing on Friday amid mixed price actions across the crypto market. The remittance token failed to hold support at $1.40 the previous day, reflecting risk-off sentiment amid a decline in retail and institutional sentiment.