1 Aug 2013
EUR/USD drops to lows near 1.3240
FXstreet.com (Edinburgh) -The shared currency intensifies the bearish tone on Thursday, dragging the EUR/USD to test fresh session lows below 1.3250 ahead of PMI prints and the ECB meeting.
EUR/USD now capped by 1.3350
The pair finally managed to assault the 1.3300 handle after the FOMC released its statement on Wednesday, lifting the euro to the boundaries of 1.3350 against the buck. “Today’s ECB meeting might also have a dovish twist with likely focus on forward guidance. When we couple this with an expected recovery in ISM today and a decent labour market report tomorrow we believe that the upside is limited for EUR/USD and that is it now just a matter of time before the cross starts to edge lower”, commented Lars Christensen, Chief Analyst at Danske Bank.
EUR/USD key levels
The pair is now losing 0.44% at 1.3243 with the next support at 1.3234 (low Jul.30) ahead of 1.3207 (low Jul.31) and then 1.3200 (psychological level). On the flip side, a surpass of 1.3417 (high Jun.19) would open the door to 1.3456 (high Feb.14) and then 1.3481 (76.4% of 1.3711-1.2740).
EUR/USD now capped by 1.3350
The pair finally managed to assault the 1.3300 handle after the FOMC released its statement on Wednesday, lifting the euro to the boundaries of 1.3350 against the buck. “Today’s ECB meeting might also have a dovish twist with likely focus on forward guidance. When we couple this with an expected recovery in ISM today and a decent labour market report tomorrow we believe that the upside is limited for EUR/USD and that is it now just a matter of time before the cross starts to edge lower”, commented Lars Christensen, Chief Analyst at Danske Bank.
EUR/USD key levels
The pair is now losing 0.44% at 1.3243 with the next support at 1.3234 (low Jul.30) ahead of 1.3207 (low Jul.31) and then 1.3200 (psychological level). On the flip side, a surpass of 1.3417 (high Jun.19) would open the door to 1.3456 (high Feb.14) and then 1.3481 (76.4% of 1.3711-1.2740).