EUR/USD bearish below 1.08 – FXStreet

FXStreet (Barcelona) - With absence of any market moving data, FXStreet Editor and Analyst, Omkar Godbole notes that EUR/USD would be slave to technical factors, further expecting a downside move towards 1.0748 if the pair fails to maintain above 1.08 levels.

Key Quotes

“The EUR/USD pair rose to a high of 1.0881 on Friday amid a broad based sell-off in the US dollar ahead of the weekend.”

“Amid the absence of a fresh economic data out of the EUrozone today, the pair is likely to take cues from the developments in Greece. The Merkel-Tsiparis talks are likely to take the center stage today. Till then the technical forces are likely to reign supreme.”

“On the 4-hour chart, we see the pair, at 1.0812, is trading just above the rising channel support at 1.08. Moreover, the pair has already dipped below the 38.2% Fib retracement (of 1.0461-1.1033) located at 1.0815 levels.”

“The failure to rise above the same during the early European session could lead to a break below 1.08. In such a case, the pair could drop to 1.0748 levels.”

“On the other hand, a rise above 1.0815 could see the pair re-test Friday’s high of 1.0881.”