EUR/USD: fresh session highs despite weak data

FXStreet (Mumbai) - The EUR/USD pair rose to a session high of 1.0949 even though industrial production figures across Europe showed a slowdown in the activity.

Cautious tone ahead of NFP

The EUR bulls are on cautious mode ahead of the non-farm payrolls report in the US, since the ultra accommodating ECB makes the single currency most vulnerable to the positive NFP figure. Moreover, a positive NFP figure today would further strengthen September rate hike expectations.

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The Euro managed to post modest gains even though the industrial production in Germany and France contracted. Moreover, the EUR bulls could have cheered the uptick in Spanish industrial production. The spot currently trades around 1.0940.

EUR/USD Technical Levels

The immediate resistance is seen at 1.0964 (50% of Mar-May rally), followed by a major hurdle at 1.10 handle. On the other hand, support is seen at 1.09 and 1.0848 (Aug 5 low).

GBP/USD flirts with 1.5500

The British pound extends its downslide versus the American dollar in the European session, now pushing GBP/USD near session lows on the 1.54 handle, as the recent BOE minutes and the inflation report released on Thursday pushed back rate-hike bets this year which continues to dampen the sentiment around the GBP.
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