EUR/USD finds support at 1.0870, looking to regain 1.0900

The shared currency keeps its negative mood intact today, with EUR/USD now attempting a rebound to the 1.0900 handle.

EUR/USD attention to US politics, Fed

Spot met extra selling pressure on Thursday following a continuation of the bid tone around the greenback.

In fact, USD’s upside remains bolstered by increasing optimism in the global markets after billionaire D.Trump was elected US President on Wednesday.

The generalized upbeat sentiment has gathered further steam on the likeliness that the new US administration could pump extra fiscal stimulus including infrastructure plans and other measures – probably on trade, immigration and taxes – oriented to spur economic growth in the US.

On the data front, Initial Claims rose to 254K WoW, a tad below expectations at 260K, taking the 4-Week Average to 259.75K from 258.00K.

Later in the session, St. Louis Fed J.Bullard (voter, centrist) is due to speak.

EUR/USD levels to watch

The pair is now retreating 0.14% at 1.0895 facing the next support at 1.0850 (low Oct.25) ahead of 1.0820 (low Mar.10) and finally 1.0709 (2016 low Jan.5). On the other hand, a break above 1.1300 (spike Nov.9) would target 1.1367 (high Aug.18) en route to 1.1434 (high Jun.24).

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