EUR/USD waits for PMIs near 1.1080

Pablo Piovano FXStreet

The dingle currency is following the rest of the riskier assets southwads today, sending EUR/USD to the area of 1.1080.

EUR/USD lower on risk, Brexit

Spot is retreating for the second consecutive session so far after briefly testing the base of the 6-month uptrend channel in the mid-1.1100s on Thursday.

Brexit concerns seem to have re-emerged after Governor M.Carney suggested that further easing via rate cuts or additional QE (or both) could be on the cards in the coming months, prompting the pair to abandon the area of recent highs.

In the data space, final manufacturing PMIs for the month of June are expected later in the session, while the ISM Manufacturing is the main highlight across the pond.

EUR/USD levels to watch

The pair is now losing 0.17% at 1.1086 and a break below 1.0913 (post-Brexit low Jun.24) would open the door to 1.0820 (low Mar.10) and finally 1.0709 (low Jan.5). On the other hand, the initial resistance aligns at 1.1155 (high Jun.30) followed by 1.1235 (20-day sma) en route to 1.1276 (55-day sma).

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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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