Having peaked at 1.1475, the EUR/USD pair ran through fresh sellers in the Asia session, as a renewed risk-on wave gripped the markets on upbeat Chinese data dump, which dampened the sentiment around the funding currency Euro.
EUR/USD awaits ECB for fresh direction
The main currency pair also remains under pressure amid holiday-thin trading, with the US dollar trying to regain footing across the board, after Friday’s disappointing US dataflow, including softer CPI figures that poured cold water on the Fed rate hate hike expectations.
Also, the upside in the EUR/USD pair remains capped, as Friday’s ECB headlines, citing that the central bank remains wary of putting an end-data in its QE asset purchases program, continues to dent the sentiment around the common currency.
Looking ahead, the main risk event for the major will remain the ECB monetary policy decision due later this week, which will provide fresh insights on the ECB’s tapering plans. Meanwhile, markets look forward to the Eurozone final CPI and Empire State manufacturing index due later today for fresh trading impetus.
EUR/USD Technical Levels
According to Valeria Bednarik, Chief Analyst at FXStreet, “In the 4 hours chart, the price settled above its 20 SMA, whilst technical indicators advanced above their mid-lines, also supporting additional gains on a break above 1.1490, the yearly low and immediate resistance. Support levels: 1.1420 1.1380 1.1340 Resistance levels: 1.1490 1.1525 1.1560.”
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 securities. 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 Forex 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.