19 Jan 2015
EUR/USD deflates from highs
FXStreet (Edinburgh) - The single currency is back to the 1.1610 area in the European evening, with EUR/USD coming down from session tops around 1.1640.
EUR/USD eyes on ZEW
Spot left at least for a day its almost relentless downside, which met fresh 11-year lows last Friday in the 1.1460 region, the ‘day after’ the SNB bomb. Moving forward to tomorrow’s calendar in the euro bloc, the ZEW Survey in Germany and the EMU will be the main highlights in the data space, preceding the crucial ECB meeting due on Thursday. Recall that the broader market consensus expects the quantitative easing programme to kick in with at least €500 billion in EGB purchases, being €1 trillion the upper bound of the expectations.
Analysts at TD Securities added “Gains through 1.1740/50 currently are needed to ease short-term technical pressure on the EUR and we would not expect a more significant bounce later this week to extend much above 1.20 for any length of time”.
EUR/USD levels to watch
As of writing the pair is up 0.40% at 1.1616 facing the next hurdle at 1.1649 (high Jan.16) followed by 1.1754 (10-d MA) and finally 1.1792 (high Jan.15). On the downside, a break below 1.1460 (11-year low Jan. 16) would target 1.1445 (low Nov.11 2003) en route to 1.1376 (low Nov.7 2003).
EUR/USD eyes on ZEW
Spot left at least for a day its almost relentless downside, which met fresh 11-year lows last Friday in the 1.1460 region, the ‘day after’ the SNB bomb. Moving forward to tomorrow’s calendar in the euro bloc, the ZEW Survey in Germany and the EMU will be the main highlights in the data space, preceding the crucial ECB meeting due on Thursday. Recall that the broader market consensus expects the quantitative easing programme to kick in with at least €500 billion in EGB purchases, being €1 trillion the upper bound of the expectations.
Analysts at TD Securities added “Gains through 1.1740/50 currently are needed to ease short-term technical pressure on the EUR and we would not expect a more significant bounce later this week to extend much above 1.20 for any length of time”.
EUR/USD levels to watch
As of writing the pair is up 0.40% at 1.1616 facing the next hurdle at 1.1649 (high Jan.16) followed by 1.1754 (10-d MA) and finally 1.1792 (high Jan.15). On the downside, a break below 1.1460 (11-year low Jan. 16) would target 1.1445 (low Nov.11 2003) en route to 1.1376 (low Nov.7 2003).