EUR/USD unmotivated around 1.1900

The single currency keeps the positive note unchanged vs. the buck so far today, taking EUR/USD to the 1.1900 neighbourhood amidst thin trading conditions due to the US Labor Day holiday.

EUR/USD looks to risk trends

Spot quickly spiked to the 1.1920 area following fresh news of a potential ICBM launch by North Korea in the next days, although the up move lacked of sustainability and prompted the pair to return to the comfort zone near 1.1900 the figure.

In the meantime, the greenback stays on the defensive despite the prevailing risk-off sentiment, navigating the mid-92.00s when measured by the US Dollar Index and against the backdrop of scarce volatility.

In the data space, investors’ sentiment in the euro area gauged by the Sentix index surprised to the upside, coming in at 28.2 for the current month. In addition, EMU’s producer prices came in flat MoM and rose 2.0% in the year to July, both prints missing initial estimates.

EUR/USD levels to watch

At the moment, the pair is gaining 0.37% at 1.1904 and a break above 1.1922 (high Sep.4) would open the door to 1.1981 (high Sep.1) and finally 1.2069 (2017 high Aug.29). On the downside, the immediate support lines up around 1.1828/22 (low Aug.31, 21-day sma and 2-month support line) seconded by 1.1773 (low Aug.25) and then 1.1721 (5-month support line).