EUR/USD: Fresh Bids Emerge Near 1.1290, ECB in Focus
The shared currency recovers losses and returns to the positive
territory versus the American dollar in the mid-Asian trades, with EUR/USD now striving hard extend gains above 1.1300.
EUR/USD eyes on 5-DMA at 1.1314
Currently,
EUR/USD trades modestly flat at 1.1293, attempting a minor-recovery
from fresh session lows reached at 1.1288 in early Asia. The main
currency trades is now consolidating the downside around 1.13 handle,
having stalled its overnight sharp decline near 1.1290 region earlier on
the day.
The EUR/USD pair dropped 1 big figure in the last US
session, as the prices ran through fresh sellers at the key resistance
near 1.14 handle. Fundamentally, upbeat existing home sales data offered
the much-need respite to the USD bulls, and triggered a fresh rally in
the US dollar against its major competitors. The US dollar index
rebounded from six-day lows post-US data and printed highs at 94.56
yesterday, where it now wavers.
Later today, the main risk event
for the EUR/USD pair is expected to be the ECB monetary policy decision
along with Draghi’s press conference, with markets looking forwards to
the new surprises from the ECB president.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance at 1.1350/52 (round number/ 20-DMA). A break beyond the last, doors will open for a test of 1.1393/1.1400 (Apr 13 High/ round number). On the flip side, the immediate support is placed at 1.1272/64 (Apr 18 & 13 Low) below which at 1.1201 (50-DMA) could be tested.
