2 May 2014
EUR/USD bounces sharply and retests daily highs
FXStreet (Córdoba) - The EUR/USD is staging a mild bounce, trimming some of its intraday losses incurred in the wake of strong US nonfarm payrolls.
The EUR/USD fell to a 2-day low of 1.3811 immediately after the data but managed to recover afterward as in Sebastien Galy analyst at Societe Generale terms, the substitution effect of rising yields gives way to the wealth effect of a rising labour market on risk taking.
The EUR/USD has completely erased intraday losses and it was at 1.3865 at last check. At current levels, the pair would close the week with a slight gain for second time in a row.
EUR/USD supports & resistances
As for technical levels, next resistances for EUR/USD could be found at 1.3888 (May 1 high), 1.3904 (Apr 11 high) and 1.3933 (Mar 19 high). On the other hand, supports are seen at 1.3811 (May 2 low/50-day SMA) and 1.3777 (Apr 30 low).
The EUR/USD fell to a 2-day low of 1.3811 immediately after the data but managed to recover afterward as in Sebastien Galy analyst at Societe Generale terms, the substitution effect of rising yields gives way to the wealth effect of a rising labour market on risk taking.
The EUR/USD has completely erased intraday losses and it was at 1.3865 at last check. At current levels, the pair would close the week with a slight gain for second time in a row.
EUR/USD supports & resistances
As for technical levels, next resistances for EUR/USD could be found at 1.3888 (May 1 high), 1.3904 (Apr 11 high) and 1.3933 (Mar 19 high). On the other hand, supports are seen at 1.3811 (May 2 low/50-day SMA) and 1.3777 (Apr 30 low).