EUR/USD challenges 1.3600

FXStreet (Edinburgh) - The weakness surrounding the single currency is intensifying on Friday, dragging the EUR/USD to test the critical support at 1.3600.

EUR/USD focus on Consumer Confidence

There are no relevant data releases in Euroland today, with only EMU’s flash Consumer Confidence for the month of June expected at -6.5. Over the weekend, the EcoFin meeting will grab all the attention although its chances to be a market mover are highly unlikely (as per usual). Better risk-off sentiment is now hurting the riskier assets and prompting spot to surrender initial gains. “The up-move in EUR was stronger than expected but the strong resistant highlighted at 1.3650 yesterday is still intact (high of 1.3641). Waning upward momentum suggests limited upside risk for today. Allow for a retest of 1.3640/45 but this should lead to a deeper pullback towards 1.3590”, observed Quek Ser Leang, Market Strategist at UOB Group.

EUR/USD levels to consider

As of writing the pair is losing 0.11% at 1.3591 with the next support at 1.3584 (low Jun.19) followed by 1.3569 (10-d MA) and finally 1.3543 (55-w MA). On the upside, a surpass of 1.3644 (high Jun.19) would target 1.3669 (high Jun.9) en route to 1.3677 (high Jun.6).

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