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EUR/USD: Upside stalls again near 1.0530, Fedspeaks eyed

The EUR/USD pair is seen moving away from fresh daily tops reached near 1.0530 in the last hour, with the bulls unable to hold the ground, despite the releases of upbeat final services PMI readings from the Euro area economies.

The spot bounced-off a brief dip to session lows of 1.0511 post European-open, as weaker European equities refueled risk-off trades and boosted the funding currency status of the Euro.

However, it remains to be seen whether the major sustain the renewed uptick amid a recovery in the treasury yields, which would eventually lend support to the greenback across the board.  

The treasury yields attempt recovery as expectations begin to build-up that the Fed chair Yellen’s speech may strongly signal a March Fed rate hike.

All eyes now remain on the US ISM non-manufacturing PMI data and Fedspeaks from Evans, Powell, Yellen and Fischer for fresh USD moves.

EUR/USD Technical Levels

Valeria Bednarik, Chief Analyst at FXStreet notes, “Technically, the 4 hours chart of the EUR/USD pair shows that the bearish tone persists, given that technical indicators have recovered modestly from oversold readings, but lost upward strength well below their mid-lines, with the RSI already turning south around 40.”

“The pair has met buying interest multiple times in the 1.0490 region, the level to beat to confirm additional slides towards 1.0440, en route to 1.0400. The key resistance comes at 1.0565, a Fibonacci retracement, that needs to be surpassed to see the pair correcting higher, up to 1.0600,” Valeria adds.

    1. R3 1.0581
    2. R2 1.0575
    3. R1 1.0564
  1. PP 1.0558
    1. S1 1.0546
    2. S2 1.0540
    3. S3 1.0528

Author

Dhwani Mehta

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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