25 Aug 2015
EUR/USD: USD bulls fights back control after 300 pips crash
FXStreet (Mumbai) - The USD bulls jumped back in to the bids in the Asian session, pushing EUR/USD lower on the 1.15 handle, after the greenback was hammered to seven month lows versus the euro on Monday after markets went wild following China ‘s stocks turmoil which sparked risk-aversion across the board.
EUR/USD: Erases nearly one-thirds of previous gains
The EUR/USD pair trades -0.69% lower at 1.1540, hovering close to session lows reached at 1.1525. The US dollar tries hard to recover from yesterday’s deep wound after markets clinged to the safe-haven appeal in the euro amid widespread panic that China's stock market crash would tank the global economy swept across financial markets.
The euro bolted higher from close to 1.1400 levels on to as much as 1.1700 in the early US trades on Monday, witnessing a 300 pips move unwinding in the EUR/USD pair.
The US dollar was heavily battered on Monday as traders turned bearish on the greenback, fearing that weaker growth in China would drag on the global economy, creating a fresh headwind for the US, which has already been struggling with weak export growth and hence may push back Fed rate-hike until next year.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1584 (Today’s High), above which gains could be extended to 1.1675 (Jan 2015) levels. On the flip side, support is seen at 1.1525 (Today’s Low) below which it could extend losses to 1.1500.
EUR/USD: Erases nearly one-thirds of previous gains
The EUR/USD pair trades -0.69% lower at 1.1540, hovering close to session lows reached at 1.1525. The US dollar tries hard to recover from yesterday’s deep wound after markets clinged to the safe-haven appeal in the euro amid widespread panic that China's stock market crash would tank the global economy swept across financial markets.
The euro bolted higher from close to 1.1400 levels on to as much as 1.1700 in the early US trades on Monday, witnessing a 300 pips move unwinding in the EUR/USD pair.
The US dollar was heavily battered on Monday as traders turned bearish on the greenback, fearing that weaker growth in China would drag on the global economy, creating a fresh headwind for the US, which has already been struggling with weak export growth and hence may push back Fed rate-hike until next year.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1584 (Today’s High), above which gains could be extended to 1.1675 (Jan 2015) levels. On the flip side, support is seen at 1.1525 (Today’s Low) below which it could extend losses to 1.1500.