9 Apr 2014
EUR/USD consolidating on dollar weakness; circa 1.3800
FXStreet (Guatemala) - Currently, EUR/USD is trading at 1.3794, down -0.01% on the day, having posted a daily high at 1.3798 and low at 1.3793.
Strategists at TD Securities noted that yesterday saw a push back from different ECB officials, making it clear that QE was not a done deal. “Yet a few weeks ago, Weidmann’s comments suggested that the Bundesbank would drop its objection to stopping sterilization of the SMP purchases." They then went onto say and acknowledged, "This is to say that Draghi has not yet achieved a consensus for additional unorthodox measures. We think it will take a smaller than expected rise in April CPI and May to raise the odds of June action."
EUR/USD downside levels
Karen Jones, chief analyst at Commerzbank explained that they decided to re-draw the 9 month support line and this is now located at 1.3681. “Together with the end of February low at 1.3643, it represents the next break down point. We now look for losses to the 5 month uptrend at 1.3608 and eventually the 1.3476 2014 low and 1.3449 the 55 MONTH ma en route to the 1.3311 2012-2014 uptrend”.
EUR/USD Levels
Current price is 1.3795, with resistance ahead at 1.3797 (Daily Open), 1.3797 (Weekly High), 1.3798 (Daily High), 1.3813 (Yesterday's High) and 1.3817 (Daily Classic R3). Next support to the downside can be found at 1.3793 (Weekly Classic R1), 1.3793 (Daily Low), 1.3784 (Daily Classic R2), 1.3780 (Hourly 20 EMA) and 1.3776 (Daily 20 SMA).
Strategists at TD Securities noted that yesterday saw a push back from different ECB officials, making it clear that QE was not a done deal. “Yet a few weeks ago, Weidmann’s comments suggested that the Bundesbank would drop its objection to stopping sterilization of the SMP purchases." They then went onto say and acknowledged, "This is to say that Draghi has not yet achieved a consensus for additional unorthodox measures. We think it will take a smaller than expected rise in April CPI and May to raise the odds of June action."
EUR/USD downside levels
Karen Jones, chief analyst at Commerzbank explained that they decided to re-draw the 9 month support line and this is now located at 1.3681. “Together with the end of February low at 1.3643, it represents the next break down point. We now look for losses to the 5 month uptrend at 1.3608 and eventually the 1.3476 2014 low and 1.3449 the 55 MONTH ma en route to the 1.3311 2012-2014 uptrend”.
EUR/USD Levels
Current price is 1.3795, with resistance ahead at 1.3797 (Daily Open), 1.3797 (Weekly High), 1.3798 (Daily High), 1.3813 (Yesterday's High) and 1.3817 (Daily Classic R3). Next support to the downside can be found at 1.3793 (Weekly Classic R1), 1.3793 (Daily Low), 1.3784 (Daily Classic R2), 1.3780 (Hourly 20 EMA) and 1.3776 (Daily 20 SMA).