24 Apr 2014
EUR/USD stabilizing around 1.3830
FXStreet (Edinburgh) - The euro is now looking to cement the advance beyond 1.3800 the figure on Thursday, with the EUR/USD orbiting around 1.3830.
EUR/USD poised for sideline trading?
With the next significant events due on Tuesday in the euro area (M3 Money Supply, Economic Sentiment), price action would hinge on the risk trends and the geopolitical scenario in Ukraine. Despite the recent better results from Germany and the EMU, market participants are already pointing to the release of the preliminary inflation figures in the bloc, (Thursday) as crucial in light of the next ECB meeting. “In the near term we expect EUR to trade within its recent 1.3673-1.3967 range. Until there is a shift in near-term capital flows or sentiment (judged through CFTC data and option pricing), EUR is unlikely to materially weaken; but its ability to trade above 1.40 is limited”, argued Camilla Sutton, Chief FX Strategist at Scotiabank.
EUR/USD levels to watch
As of writing the pair is up 0.06% at 1.3825 with the initial hurdle at 1.3855 (high Apr.23) ahead of 1.3865 (high Apr.17) and then 1.3906 (high Apr.11). On the other hand, a breakdown of 1.3796 (21-d MA) would aim for 1.3785 (low Apr.22).
EUR/USD poised for sideline trading?
With the next significant events due on Tuesday in the euro area (M3 Money Supply, Economic Sentiment), price action would hinge on the risk trends and the geopolitical scenario in Ukraine. Despite the recent better results from Germany and the EMU, market participants are already pointing to the release of the preliminary inflation figures in the bloc, (Thursday) as crucial in light of the next ECB meeting. “In the near term we expect EUR to trade within its recent 1.3673-1.3967 range. Until there is a shift in near-term capital flows or sentiment (judged through CFTC data and option pricing), EUR is unlikely to materially weaken; but its ability to trade above 1.40 is limited”, argued Camilla Sutton, Chief FX Strategist at Scotiabank.
EUR/USD levels to watch
As of writing the pair is up 0.06% at 1.3825 with the initial hurdle at 1.3855 (high Apr.23) ahead of 1.3865 (high Apr.17) and then 1.3906 (high Apr.11). On the other hand, a breakdown of 1.3796 (21-d MA) would aim for 1.3785 (low Apr.22).