EUR/USD remains sidelined around 1.1480, focus on Italy, data

The pair moves sideways always below the 1.1500 handle.
The greenback follows the same pattern around 96.00.
Focus remains on Italian politics and flash PMIs.

Pablo Piovano FXStreet

EUR/USD alternates gains with losses in the middle of the week, extending the sideline theme so far below the critical 1.1500 the figure.

EUR/USD looks to data, Italy

The pair navigates within a narrow range in the 1.1480 region, prolonging the cautious stance amidst unabated effervescence surrounding the Italian political arena.

In fact, the dispute between the Italian government and the EU authorities in Brussels stay far from over, always with the recently submitted (and rejected) 2019 draft budget in the centre of the debate.

Looking ahead, advanced PMIs in core Euroland are next on tap along with ECB’s Private Sector Loans figures and M3 Money Supply. Across the pond, Markit will also release its preliminary gauges for the current month seconded by New Home Sales and the weekly report on US crude oil supplies.

EUR/USD levels to watch

At the moment, the pair is losing 0.08% at 1.1465 and a break below 1.1432 (low Oct.9) would target 1.1319 (200-week SMA) en route to 1.1299 (2018 low Aug.15). On the upside, the next resistance emerges at 1.1508 (low May 29) seconded by 1.1550 (high Oct.22) and then 1.1574 (55-day SMA).

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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