EUR/USD firm around 1.1990 post-ZEW

Pablo Piovano FXStreet

The buying interest stays firm around the European currency following the release of the German ZEW survey, with EUR/USD hovering over the 1.1990 area.

EUR/USD bid on upbeat ZEW

Spot remains in the upper end of the daily range after the German ZEW survey surprised to the upside for the current month. In fact, both current conditions and economic sentiment rose to 87.9 and 17.0, respectively.

On the not-so-bright side, the economic sentiment in the euro area disappointed estimates for the same period, coming in at 31.7 vs. 32.4 forecasted. The reading, however, represent an improvement from the August print.

Earlier in the session, EMU’s current account rose to a seasonally adjusted €25.1 billion in July, surpassing both prior surveys and the previous reading.

In the meantime, the pair’s upside stays well underpinned by the continuation of the selling bias around the greenback, which continues to navigate the area of daily lows when tracked by the US Dollar Index (DXY).

EUR/USD levels to watch

At the moment, the pair is up 0.27% at 1.1987 and a break above 1.2006 (high Sep.19) would target 1.2041 (high Sep.11) and finally 1.2092 (2017 high Sep.6). On the flip side, the immediate support aligns at 1.1919 (21-day sma) followed by 1.1851 (5-month support line) and finally 1.1837 (low Sep.14).

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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