EUR/USD Off-Lows, Regains 1.1350 ahead of Yellen
The EUR/USD pair is seen making minor-recovery attempts from weak German factory data induced drop, although keeps its corrective mode intact ahead of Eurozone datasets.
EUR/USD finds support ahead of hourly 20-SMA
Currently, EUR/USD trades -0.11% lower at 1.1354, recovering slightly from session lows struck at 1.1336 in the last hour. The main currency pair appears to have caught a fresh bid wave near 1.1335 region and now takes on the recovery towards multi-week tops as the US dollar stalls rebound and pares gains against its major peers.
However, the recovery may remain weighed down by disappointing German factory data, which showed a 2.0% drop in April on a monthly, after the indicator booked a firm revised climb of 2.6% in March. While markets had predicted a 0.5% decrease in April. Moreover, a positive start on the European markets is also expected to keep the recovery in check.
With the ECB decision and US jobs report out of the way last week, the major now awaits Fed Yellen’s speech and LMCI data due later in the NA session. While from the Euroland, we have a set of second-liner data in the form of Eurozone retail PMI and Sentix index.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance 1.1372/77 (Daily high/ 3-week tops). A break beyond the last, doors will open for a test of 1.1400 (round number) On the flip side, the immediate support is placed at 1.1306 (50-DMA) below which at 1.1281 (5-DMA & May 13 Low) could be tested.