EUR/USD parked around 1.1220 ahead of ADP

EUR/USD is extending its comatose performance on Wednesday, gyrating around the 1.1220 area ahead of the key US ADP report.

EUR/USD attention to US data

The pair keeps its consolidative range above the 1.1200 handle in the middle of the week, coming down from yesterday’s spike to the proximity of 1.1240 on rumours on some kind of ECB’s QE tapering, although they lacked both conviction and credibility. In this regard, market participants are expected to closely follow Draghi’s press conference following the IMF/World Bank Annual Meetings in Washington on Saturday.

On the data front, September’s Services PMI tracked by Markit have come in above estimates in both the euro area and Germany, while missing forecasts in France, Italy and Spain.

In the US economy, the ADP report due later today is seen at 166K for the month of September, followed by Trade Balance figures, Markit’s Services PMI, ISM Non-manufacturing and Factory Orders.

Of note during the European morning is the slip to record lows of the shares of the Italian lender Monte Dei Paschi Di Siena (BMPS), currently shedding more than 3% to sub-0.18 levels.

EUR/USD levels to watch

The pair is now up 0.17% at 1.1223 and a break above 1.1268 (resistance line off 2016 high) would target 1.1279 (high Sep.26) en route to 1.1329 (high Sep.8). On the other hand, the next support aligns at 1.1165 (200-day sma) followed by 1.1097 (2014-2016 support line) and then 1.1043 (low Aug.5).