EUR/USD Fades the Spike to 1.0880 Ahead of PMIs

EUR/USD Fades the Spike to 1.0880 Ahead of PMIs

03 Maret 2016 8:40 AM

The upside momentum around the single currency is now losing some vigour, forcing EUR/USD to recede towards the 1.0865/60 band.

EUR/USD stronger ahead of PMIs, EMU data

Spot is prolonging the bounce off yesterday’s troughs around 1.0820, although the bullish attempt has so far run out of steam in the 1.0880 area while market participants wait for the final figures of the Services PMI for the month of February.

A softer tone of European equities is also helping the euro to remain in the upper band of the daily range, ahead of US Factory Orders and the ISM Non manufacturing.

EUR/USD levels to watch

The pair is now up 0.05% at 1.0871 facing the next up barrier at 1.0925 (100-day sma) ahead of 1.1046 (200-day sma) and then 1.1123 (38.2% Fibo of December up-move). On the flip side, a breakdown of 1.0823 (low Mar.2) would target 1.0777 (low Jan.21) en route to 1.0709 (2016 low Jan.5).

(Market News Provided by FXstreet)