EUR/USD rises above the 50-DMA level of 1.0648

The EUR/USD is trading above the 50-DMA level of 1.0648 in Asia with traders eyeing Franco-German bund yield spread ahead of Sunday’s French presidential elections.

Macron leads the way in a poll

The Elabe poll for magazine L’Express showed Macron winning 24% of the vote in the first round of the French elections. Marine Le Pen’s score improved from 22.5% to 23%. Macron is still expected to win the second round by 32% to 38%.

However, the polls have proven to be unreliable in the past in case of Brexit and US elections. Hence, the German bunds could remain well bid ahead of Sunday’s elections. The resulting widening of the Franco-German yield spread could weigh over the EUR/USD pair.

Ahead in the day, US industrial production could influence the treasury yields and the US dollar.

EUR/USD Technical Levels

The spot was last seen trading around 1.0648 (50-DMA). A break above 1.0678 (Apr 13 high) would open up upside towards 1.0702 (Mar 31 high) and 1.0715 (Mar 13 high). On the other hand, a breakdown of support at 1.0637 (session low) would expose 1.06 (zero levels) and 1.0569 (Apr 10 low).