EUR/USD caught sideways, moving into neutral medium term? - FXStreet

FXStreet (Guatemala) - Valeria Bednarik, chief analyst at FXStreet, explained that the EUR/USD rose this Monday, with the greenback under broad pressure since early opening although continued to trade sideways.

"There was plenty of fundamental data in both economies but beside short lived spikes, it was unable to awake to the pair."

"Having started the day with a gap higher as Greece announced it will pay its debt, as the day went by, doubts arose over the possibility of the EZ countries accepting to renegotiate with Tsipras."

"In Europe, Manufacturing PMI readings came out mixed, with German and French readings surprising to the downside. In the US, personal income grew 0.3% in December, albeit spending fell, meaning Americans are back to saving. Finally, manufacturing in the US grew in January just 53.5 according to the ISM, the slowest pace in a year, bringing to the table more doubts, this time about US economic growth, particularly after last week weak GDP figures."

"Technically, the EUR/USD 1 hour chart shows that price advanced late US session, although all short and long moving averages converge in a 30 pips range, reflecting the ongoing lateralization, whilst indicators aim slightly higher above their midlines, showing no actual strength."

"In the 4 hours chart the technical picture remains also neutral, with some follow through above 1.1365 required to see the pair advancing further this Tuesday."

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