EUR/USD deepens correction, falls to test 1.1500

The US dollar has staged a strong comeback over the last hours, dragging EUR/USD more than a full cent down to fresh daily lows.

EUR/USD turned south after hitting a fresh 8-month high of 1.1615, dropping over a hundred pips to hit a low of 1.1502, where the 50-hour SMA offered support. EUR/USD has completely retraced intraday gains and is currently trading around 1.1510, 0.26% below its opening price.

EUR/USD technical levels

As for technical levels, immediate supports could be found at 1.1447 (May 2 low),1.1351/46 (20-day SMA/Apr 29 low) and 1.1297 (Apr 29 low). On the flip side, resistances are seen at 1.1620 (Aug 25 2015 high), 1.1639 (100-week SMA) and 1.1712 (Aug 24 2015 high).

ECB unlikely to consider a change in tone in its policy - TDS

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USD/JPY recovers above 106.00

The US dollar erased most of today’s losses against the Japanese yen. Greenback gained momentum across the board and boosted USD/JPY, that moved off 18-month lows that reached earlier at 105.54. From the lows, it has risen more than 75 pips.
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