EUR/USD aims to complete a full retracement to 1.2349

EUR/USD trades above 1.2200 for the first time since early January, as risk appetite woke up the shared currency. The pair is in recovery mode and heading towards 1.2349, Valeria Bednarik, Chief Analyst at FXStreet, reports.

Key quotes

“The US has just published January Durable Goods Orders, with the headline reading coming at 3.4%, vs the 1.1% expected. Initial Jobless Claims for the week ended February 17 improved to 730K, while the Q4 Gross Domestic Product was upwardly revised to 4.1% as expected.”

“The near-term picture is bullish, as the 4-hour chart shows that EUR/USD accelerated north above all of its moving averages. The pair is also trading well above the 23.6% retracement of its November/January rally, aiming to complete a full retracement to 1.2349.”

“Technical indicators have partially lost their bullish strength, but hold near their daily highs and well into positive levels, keeping the risk skewed to the upside.”