EUR/USD Losing Ground as Stoxx 50 Futures Rise
EUR/USD extended losses to 1.1365 levels as pan-European equity futures – Stoxx 50 index rose 0.65% following Tuesday’s meltdown.
1.14 is a tough nut to crack
The
spot has failed to hold gains above 1.14 handle for last four trading
session, making it a tough resistance to cut through. An attempt to take
out 1.114 appeared likely, although it ran out of steam around 1.1387
levels on signs of stability in the risk sentiment.
Stoxx 50
index opened on a positive note as upbeat China services PMI data and
uptick in oil helped calmed market nerves. This is keeping the carry
currency EUR under pressure. Furthermore, German industrial production
suffered another drop in Feb, which only adds to bearish pressure around
EUR.
EUR/USD Technical Levels
The
immediate hurdle is noted at 1.14, followed by a resistance at 1.1460
(Sep 18 high). A violation there would expose 1.15 handle. On the other
hand, a break below 1.1342 (Mar 17 high) could see the pair drift lower
to 1.13. Next major support is seen at 1.1257 (61.8% of 1.0517-1.1714).
(Market News Provided by FXstreet)
