EUR/USD finds bids once again near 1.1250, Eurozone GDP eyed

Bears target 2018 lows at 1.1215 amid broad USD comeback, as risk sours.
German prelim GDP arrives at 0.0% in Q4 vs +0.1% expected
Dead cat bounce ahead of Eurozone flash GDP, US retail sales and PPI data?

Dhwani Mehta FXStreet

The EUR/USD pair is seen making a minor recovering attempt, having tested the three-month lows of 1.1249 reached a day before, as markets now await the second reading of the Eurozone Q4 GDP for further trading momentum.

The overnight recovery in the spot faced rejection on a couple of occasions just shy of the 1.13 handle and from there the sellers took back charge, sending the rates back to the midpoint of the 1.12 handle amid a sharp rebound staged by the US dollar across its main competitors. The USD index reversed sharply from 97.00 and hit fresh 2-month tops at 97.28, up +0.15% on the day. At the press time, EUR/USD trades almost unchanged at 1.1263 levels.

Despite the renewed uptick, the common currency remains exposed to downside risks amid rising Eurozone growth concerns, especially after the German Q4 GDP numbers arrived at 0.0% q/q versus 0.1% expected. Meanwhile, the sell-off in the 10-year German yields is likely to keep the recovery attempts shallow heading into the Eurozone flash GDP release at 1000 GMT.

EUR/USD levels to watch

Overview:
    Today Last Price: 1.1264
    Today Daily change: 3 pips
    Today Daily change %: -0.03%
    Today Daily Open: 1.1266
Trends:
    Daily SMA20: 1.1379
    Daily SMA50: 1.1397
    Daily SMA100: 1.1412
    Daily SMA200: 1.1535
Levels:
    Previous Daily High: 1.1344
    Previous Daily Low: 1.1264
    Previous Weekly High: 1.1462
    Previous Weekly Low: 1.132
    Previous Monthly High: 1.1586
    Previous Monthly Low: 1.1289
    Daily Fibonacci 38.2%: 1.1294
    Daily Fibonacci 61.8%: 1.1313
    Daily Pivot Point S1: 1.1239
    Daily Pivot Point S2: 1.1212
    Daily Pivot Point S3: 1.116
    Daily Pivot Point R1: 1.1319
    Daily Pivot Point R2: 1.1371
    Daily Pivot Point R3: 1.1398

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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