5 Mar 2015
EUR/USD: Penetrates the1 1.1000 level and recuperates
FXStreet (Guatemala) - EUR/USD is currently trading at 1.1010 at time of writing with a low of 1.0987.
EUR/USD has breached the 1.1000 psychological level for the first time since 2003. Draghi has given the market the green light add to short positions in the euro in respect of QE, negative deposit rates with ECB's rate set at -0.02% and the implications for longer term debt yields. The key issue here is that there is not a great deal of support here until the psychological 1.08 level. Tomorrows Non farm payrolls data will be of keen interest, as per usual, and this could be the catalyst for a continuation to the down side on in line numbers or better than expected.
Technically, EUR/USD has eroded the 1.1098 recent low, and in doing so, Karen Jones, chief analyst at Commerzbank said earlier that this signals the resumption of further downside pressure to the next support/target zone offered by1.0835, the 50% retracement of the entire move up from 1985.
EUR/USD has breached the 1.1000 psychological level for the first time since 2003. Draghi has given the market the green light add to short positions in the euro in respect of QE, negative deposit rates with ECB's rate set at -0.02% and the implications for longer term debt yields. The key issue here is that there is not a great deal of support here until the psychological 1.08 level. Tomorrows Non farm payrolls data will be of keen interest, as per usual, and this could be the catalyst for a continuation to the down side on in line numbers or better than expected.
Technically, EUR/USD has eroded the 1.1098 recent low, and in doing so, Karen Jones, chief analyst at Commerzbank said earlier that this signals the resumption of further downside pressure to the next support/target zone offered by1.0835, the 50% retracement of the entire move up from 1985.