EUR/USD Revisits Daily Highs Near 1.1365 on Upbeat German IP
The EUR/USD pair appears to have found solid support at the mid-point of 1.13 handle, and jumped higher from there to test daily highs following the release of surprisingly positive German industrial figures.
EUR/USD looks to test 1.1400
Currently, EUR/USD trades +0.04% higher at 1.1360, testing daily highs reached at 1.1366 in mid-Asia. The main currency pair ran through fresh bids after the euro got a boost from an unexpected growth in the German industrial production.
Industrial production in Germany surprised on the upside in April, coming in at 0.8% on a monthly basis, after a revised negative reading of 1.1% in the previous month. On an annual basis, factory output in Germany increased 1.2% in April, while markets had predicted a 1.0% rise.
The major also remains supported on the back of a renewed spurt of selling seen in the US dollar across the board, as the European traders react negatively to yesterday’s comments from Fed Chair Yellen, when the Fed Chief refrained from providing any hint on a summer Fed rate hike. The USD index now drops -0.07% to 93.95, stalling its recovery near 94.10 levels.
Markets now await the European open for fresh momentum on the major ahead of the Eurozone revised Q1 GDP figures due later this session.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance 1.1393/1.1400 (May 6 high/ round number). A break beyond the last, doors will open for a test of 1.1450 (psychological levels) On the flip side, the immediate support is placed at 1.1318/06 (5-DMA/ 50-DMA) below which at 1.1281 (May 13 Low) could be tested.