31 Jan 2014
EUR/USD closing the week around 1l3500
FXstreet.com (Barcelona) - The selling pressure is giving some respite to the shared currency at the end of the trading week, with the EUR/USD looking to consolidate around the 1.3500 handle.
EUR/USD weaker ahead of the ECB
Decreasing consumer prices in the euro bloc during January prompted investor to start pricing in a dovish ECB meeting next week, putting the pair under further pressure. The FOMC decision to taper its monthly asset purchases by $10 billion also added to the downside. Camilla Sutton, Chief FX Strategist at Scotiabank, observed that short-term technicals remain mixed, “but favouring downside. The MACD has shifted into buy t erritory and downside pressure on spot has increased. Support lies at recent congestion at the January lows of 1.3508; a break below here would accelerate downside pressure”.
EUR/USD key levels
The pair is down 0.38% at 1.34395 with the next support at 1.3490 (low Nov.25). On the upside, the initial hurdle aligns at 1.3595 (daily cloud base) followed by 1.3603 (100-d MA) and finally 1.3614 (10-d MA).
EUR/USD weaker ahead of the ECB
Decreasing consumer prices in the euro bloc during January prompted investor to start pricing in a dovish ECB meeting next week, putting the pair under further pressure. The FOMC decision to taper its monthly asset purchases by $10 billion also added to the downside. Camilla Sutton, Chief FX Strategist at Scotiabank, observed that short-term technicals remain mixed, “but favouring downside. The MACD has shifted into buy t erritory and downside pressure on spot has increased. Support lies at recent congestion at the January lows of 1.3508; a break below here would accelerate downside pressure”.
EUR/USD key levels
The pair is down 0.38% at 1.34395 with the next support at 1.3490 (low Nov.25). On the upside, the initial hurdle aligns at 1.3595 (daily cloud base) followed by 1.3603 (100-d MA) and finally 1.3614 (10-d MA).