13 Jul 2015
EUR/USD recovers to 1.1075, ECB ELA decision in focus
FXStreet (Mumbai) - The European currency trimmed losses against the US dollar in the mid-European session, lifting EUR/USD from session lows printed at 1.1055. The major remains heavy as markets digest the latest Greek deal news while awaiting fresh insights from the upcoming Euro group meeting and the ECB’s ELA decision for the Greek banks due later today.
EUR/USD rises from 1.1055
The EUR/USD pair trades -0.73% lower at 1.1075, steadying below 1.1100 levels after the sharp drop post Greek deal news. The European currency seems to consolidate versus the US dollar, although recovering slightly from session lows as markets now shift focus towards approval from the Greek parliament, which has to quickly pass on harsh reforms to be able to get a third bailout package worth about €86 billion.
Traders also remain cautious amid a data-empty EUR calendar, while weighing the after-effects of the Greek deal struck. After 17 hours of negotiations, EU leaders in Brussels reached a unanimous agreement to keep Greece in the Eurozone, but under some strict conditions.
Traders now eye chatter about Euro group scheduled for today while ECB ELA decision due later today will also be closely watched, with Reuters noting that ECB might keep the ELA steady for Greek banks.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1156 (May 20 High) levels, above which gains could be extended to 1.1215 (July 10 High) levels. On the flip side, support is seen at 1.1055 (Today’s Low) below which it could extend losses to 1.0992 (July 9 Low) levels.
EUR/USD rises from 1.1055
The EUR/USD pair trades -0.73% lower at 1.1075, steadying below 1.1100 levels after the sharp drop post Greek deal news. The European currency seems to consolidate versus the US dollar, although recovering slightly from session lows as markets now shift focus towards approval from the Greek parliament, which has to quickly pass on harsh reforms to be able to get a third bailout package worth about €86 billion.
Traders also remain cautious amid a data-empty EUR calendar, while weighing the after-effects of the Greek deal struck. After 17 hours of negotiations, EU leaders in Brussels reached a unanimous agreement to keep Greece in the Eurozone, but under some strict conditions.
Traders now eye chatter about Euro group scheduled for today while ECB ELA decision due later today will also be closely watched, with Reuters noting that ECB might keep the ELA steady for Greek banks.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1156 (May 20 High) levels, above which gains could be extended to 1.1215 (July 10 High) levels. On the flip side, support is seen at 1.1055 (Today’s Low) below which it could extend losses to 1.0992 (July 9 Low) levels.