7 Feb 2014
EUR/USD is more dead, than alive
FXStreet (Moscow) - EUR/USD died at 1.3588 somewhere in early Asia, and since that time we saw only slight convulsions.
Draghi gave the pair what it needed
With a start of European session we saw a little move lower to 1.3585. After a significant climb higher, the pair needs to have a rest before a new round. Draghi gave the market something the least expected, and no wonder the euro shot 1-cent higher in a couple of hours. Many investors wondered, why the reaction was that big, but to tell the truth the comments of the ECB chairman on inflation/deflation sounded strange amid still weak CPI and PPI, and unstable PMI growth. Nevertheless, it’s all done and said, and now the expectations for March easing decreased significantly. Thus, the positions of the euro are more stable for now, and additional disappointment from the US labor data may trigger another wave of demand. To the upside the resistance comes at 1.3647, and followed by 1.3703. The downside is limited by 1.3565 support level.
What are today’s key EUR/USD levels?
Today's central pivot point can be found at 1.3565, with support below at 1.3509, 1.3427 and 1.3371, with resistance above at 1.3647, 1.3703, and 1.3785. Hourly Moving Averages are largely bullish, with the 200SMA at 1.3572 and the daily 20EMA flat at 1.3595. Hourly RSI is neutral at 49.
Draghi gave the pair what it needed
With a start of European session we saw a little move lower to 1.3585. After a significant climb higher, the pair needs to have a rest before a new round. Draghi gave the market something the least expected, and no wonder the euro shot 1-cent higher in a couple of hours. Many investors wondered, why the reaction was that big, but to tell the truth the comments of the ECB chairman on inflation/deflation sounded strange amid still weak CPI and PPI, and unstable PMI growth. Nevertheless, it’s all done and said, and now the expectations for March easing decreased significantly. Thus, the positions of the euro are more stable for now, and additional disappointment from the US labor data may trigger another wave of demand. To the upside the resistance comes at 1.3647, and followed by 1.3703. The downside is limited by 1.3565 support level.
What are today’s key EUR/USD levels?
Today's central pivot point can be found at 1.3565, with support below at 1.3509, 1.3427 and 1.3371, with resistance above at 1.3647, 1.3703, and 1.3785. Hourly Moving Averages are largely bullish, with the 200SMA at 1.3572 and the daily 20EMA flat at 1.3595. Hourly RSI is neutral at 49.