7 Apr 2014
EUR/USD keeps highs near 1.3750
FXStreet (Edinburgh) - The shared currency remains well bid above the 1.3700 handle on Monday, taking the EUR/USD to the upper band of the range around 1.3740/45 so far.
EUR/USD propped up by risk appetite
The prevailing risk sentiment is pushing the risk-associated universe to higher levels at the beginning of the week, with Friday’s Payrolls numbers already in the rear mirror. Spot is navigating the upper extreme of the intraday range amidst rumours and counter-rumours (fantasies?) regarding how the ECB’s QE should look like. “A third consecutive lower weekly close for the EUR leaves the market resting more or less right on key support—weekly trend channel and 23.6% retracement of the past year’s rally (1.3670/80). Loss of support in the high 1.36s should trigger a quicker drop in the EUR and a stronger drive towards key retracement supports in the medium term”, suggested Shaun Osborne, Chief FX Strategist at TD Securities.
EUR/USD levels to watch
As of writing the pair is up 0.29% at 1.3743 and a surpass of 1.3756 (10-d MA) would target 1.3763 (61.8% of 1.3820-1.3672) en route to 1.3800 (psychological level). On the downside, the immediate target lines up at 1.3695 (21-w MA) ahead of 1.3690 (100-d MA) and finally 1.3672 (low Apr.4).
EUR/USD propped up by risk appetite
The prevailing risk sentiment is pushing the risk-associated universe to higher levels at the beginning of the week, with Friday’s Payrolls numbers already in the rear mirror. Spot is navigating the upper extreme of the intraday range amidst rumours and counter-rumours (fantasies?) regarding how the ECB’s QE should look like. “A third consecutive lower weekly close for the EUR leaves the market resting more or less right on key support—weekly trend channel and 23.6% retracement of the past year’s rally (1.3670/80). Loss of support in the high 1.36s should trigger a quicker drop in the EUR and a stronger drive towards key retracement supports in the medium term”, suggested Shaun Osborne, Chief FX Strategist at TD Securities.
EUR/USD levels to watch
As of writing the pair is up 0.29% at 1.3743 and a surpass of 1.3756 (10-d MA) would target 1.3763 (61.8% of 1.3820-1.3672) en route to 1.3800 (psychological level). On the downside, the immediate target lines up at 1.3695 (21-w MA) ahead of 1.3690 (100-d MA) and finally 1.3672 (low Apr.4).