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28 Feb 2014
EUR/USD tests 1.3720
FXStreet (Edinburgh) - The single currency is extending its advance against the greenback on Friday, lifting the EUR/USD to test session highs around 1.3715/20.
EUR/USD eyes EMU data
The pair found legs after German retail sales exceeded expectations in January, growing 2.5% inter-month and 0.9% over the last twelve months, ahead of the key EMU’s CPI figures due later. Market consensus expects consumer prices to have expanded at an annual pace of 0.7%, a tad lower than the previous 0.8%. According to Camilla Sutton, Chief FX Strategist at Scotiabank, the pair technicals remain mixed “and shifting towards bearish; however we would wait for a more unified signal before positioning for EUR downside; particularly as the currency, with a ADX of just 11, shows no clear sign of a trend”.
EUR/USD levels to watch
At the moment the pair is up 0.01% at 1.3711 with the next resistance at 1.3725 (10-d MA) followed by 1.3757 (high Feb.26) and then 1.3768 (high Feb.25). On the flip side, a break below 1.3656 (21-d MA) would aim for 1.3643 (low Feb.27) and finally 1.3642 (daily cloud base).
EUR/USD eyes EMU data
The pair found legs after German retail sales exceeded expectations in January, growing 2.5% inter-month and 0.9% over the last twelve months, ahead of the key EMU’s CPI figures due later. Market consensus expects consumer prices to have expanded at an annual pace of 0.7%, a tad lower than the previous 0.8%. According to Camilla Sutton, Chief FX Strategist at Scotiabank, the pair technicals remain mixed “and shifting towards bearish; however we would wait for a more unified signal before positioning for EUR downside; particularly as the currency, with a ADX of just 11, shows no clear sign of a trend”.
EUR/USD levels to watch
At the moment the pair is up 0.01% at 1.3711 with the next resistance at 1.3725 (10-d MA) followed by 1.3757 (high Feb.26) and then 1.3768 (high Feb.25). On the flip side, a break below 1.3656 (21-d MA) would aim for 1.3643 (low Feb.27) and finally 1.3642 (daily cloud base).