EUR/USD Remains Capped Below 1.1400, Awaits Fresh Impetus

EUR/USD Remains Capped Below 1.1400, Awaits Fresh Impetus

11 May 2016, 11:26
Roberto Jacobs

EUR/USD Remains Capped Below 1.1400, Awaits Fresh Impetus

The EUR/USD pair continues to trade around a flat-line amid poor risk environment, awaiting from the Euro zone industrial figure due tomorrow.

EUR/USD trades below daily R1 at 1.1401

Currently, EUR/USD trades 0.12% higher at 1.1387, easing-off fresh session tops reached at 1.1397 post-European open. The shared currency trades absolutely directionless in a 15-pips extremely narrow range against its American counterpart, with EUR/USD failing every attempt to reclaim 1.14 barrier. Meanwhile, the US dollar drops further to 94 handle, down -0.21% on the day.

The EUR/USD pair keeps the bid tone intact and remains confined below 1.14 barrier as markets remain on the side-lines in absence of economic data from both continents, which could provide fresh impetus to the major.

Therefore, focus now shifts towards the Eurozone industrial production figures due tomorrow and Friday’s US retail sales for further momentum on the pair. While Thursday’s BOE monetary policy decision and minutes are expected to have significant impact on the EUR/GBP cross, in turn influencing EUR/USD.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance at 1.1432/42 (10-DMA/ 1h 200-SMA). A break beyond the last, doors will open for a test of 1.1471/79 (20-DMA/ May 6 High). On the flip side, the immediate support is placed at 1.1350/33 (psychological levels/ Apr 29 Low) below which at 1.1305/00 (50-DMA/ round number) could be tested.


Share it with friends: