EUR/USD Eyeing Highest Weekly Close Since May 2015
The EUR/USD pair added some more weight above 1.1400 handle, rising to session high of 1.1446 on disappointing US economic data.
According
to the data released by Commerce Department, US core personal
consumption expenditures (PCE) price index rose by a modest 0.1% in
March, while personal spending increased by 0.1%, slower than recorded
in the previous month and expected 0.2%. The Chicago PMI surprisingly
fell well below expectations to 50.4 in April from 53.6 in March and the
UoM Consumer Sentiment index for April was also revised lower to 89.0
as against the preliminary reading of 89.7.
Immediately after the
releases, the EUR/USD pair witnessed a sharp up-tick and has now moved
closer to monthly high level of 1.1465. A weekly close above 1.1400
would mark its highest weekly close since May 2015.
Technical levels to watch
Bulls
would now be immediately aiming for April 12 high, which if cleared
sets the stage for test of Oct. 2015 high level of 1.1492.
On the
downside, 1.1415-1.1400 handle should now protect immediate downside
and any further slide below this immediate support is likely to get
bought into, thus limiting the fall at 1.1375-70 area.
