EUR/USD might test 1.10 – FXStreet

FXStreet (Barcelona) - According to FXStreet Editor and Analyst, Omkar Godbole, EUR/USD outlook remains bullish whilst above 1.0897, and the pair might likely test 1.10 levels if eurozone PMIs come out strong.

Key Quotes

“The EUR/USD pair could test 1.10 levels as the flash PMI reports due for release today are likely to support Draghi’s view that the Eurozone economy is gaining momentum. The gains could be capped by fresh signs of friction between Greece and its creditors.”

“On the charts, the pair finished the previous session well above the 23.6% Fib retracement of the post Fed up move from 1.0461 – 1.1033 located at 1.0897. The daily RSI has also turned bullish.”

“Thus, with the upbeat PMI numbers, the pair could easily rise to 1.10 levels from the current level of 1.0940.”

“In case the Greece issue flares up or the PMI reports disappoints, we could see the pair re-test 1.0897 levels.”

“However, the technical outlook would stay bullish so long as the pair does not confirm a breach of 1.0897 on the hourly charts.”

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