3 Dec 2013
EUR/USD keeps session highs
FXstreet.com (Edinburgh) - The bid tone surrounding the bloc currency remains intact on Tuesday, with the EUR/USD keeping the area around intraday highs near 1.3570.
EUR/USD attempting a consolidation pattern
The absence of data releases or events in the euro area plus a second-tier docket in the US economy would prompt the pair to remain sidelined at current levels, at least until the ECB meeting on Thursday. In light of the upcoming event, Richard Kelly, Head of European Rates and FX Research at TD Securities, assessed, “Although there is still the omnipresent risk of some kind of easing of rates or suggestion of new support to come, that risk appears small this month and it should be a fairly orderly meeting. For as long as the downside risks remain small, ECB mumbling and tactical rate cuts can be an effective stalling tactic, but that simply leaves the Eurozone's fate at the mercy of global momentum until domestic deleveraging is complete”.
EUR/USD levels to consider
The pair is now advancing 0.24% at 1.3572 with the initial resistance at 1.3616 (high Dec.2) followed by 1.3622 (high Nov.29) and then 1.3628 (61.8% of 1.3833-1.3295). On the flip side, a breakdown of 1.3525 (low Dec.2) would target 1.3515 (low Nov.26) en route to 1.3502 (MA21d).
EUR/USD attempting a consolidation pattern
The absence of data releases or events in the euro area plus a second-tier docket in the US economy would prompt the pair to remain sidelined at current levels, at least until the ECB meeting on Thursday. In light of the upcoming event, Richard Kelly, Head of European Rates and FX Research at TD Securities, assessed, “Although there is still the omnipresent risk of some kind of easing of rates or suggestion of new support to come, that risk appears small this month and it should be a fairly orderly meeting. For as long as the downside risks remain small, ECB mumbling and tactical rate cuts can be an effective stalling tactic, but that simply leaves the Eurozone's fate at the mercy of global momentum until domestic deleveraging is complete”.
EUR/USD levels to consider
The pair is now advancing 0.24% at 1.3572 with the initial resistance at 1.3616 (high Dec.2) followed by 1.3622 (high Nov.29) and then 1.3628 (61.8% of 1.3833-1.3295). On the flip side, a breakdown of 1.3525 (low Dec.2) would target 1.3515 (low Nov.26) en route to 1.3502 (MA21d).