EUR/USD struggles for direction near 1.1950

The single currency keeps struggling for direction following the Asian session on Tuesday, now taking EUR/USD to the mid-1.1900s, near daily lows.

EUR/USD looks to USTs, ECB-speak

Spot came under renewed selling pressure on Monday after clinching fresh cycle tops in levels just below 1.2100 the figure on Friday. The selling pressure seems to be taking a breather today, while the 10-day sma around 1.1930 appears to be holding for the time being.

The moderate recovery of yields in the US money markets gave extra oxygen to the greenback at the beginning of the week. In fact, yields of the key 10-year reference managed to regain around 13 bp since Friday’s multi-month tops in sub-2.02% levels.

Nothing scheduled data wise in Euroland today, whereas markets attention should be on the speech by ECB’s VP V.Constancio. Across the pond, the NFIB index and JOLTs job openings are only due.

EUR/USD levels to watch

At the moment, the pair is gaining 0.04% at 1.1958 and a break below 1.1935 (10-day sma) would expose 1.1877 (21-day sma) and then 1.1823 (low Aug.31). On the flip side, the next hurdle aligns at 1.2069 (high Aug.31) followed by 1.2092 (2017 high Sep.6) and finally 1.2167 (50% Fibo of the 2014-2017 drop).