FXStreet (Edinburgh) – The euro’s decline seems to have found some support around 1.0920 so far, with EUR/USD bouncing to 1.0950/60 where it is now looking to stabilize.
EUR/USD upside capped by 1.1050
The recent offered tone around the US dollar has been the main driver of the pair’s upside during the first half of the week. However, the upbeat mood seems to have run out of steam around the 1.1050 area on Wednesday following a mix of profit taking sentiment and swelling speculations of a Fed’s lift-off next week.
Nothing worth mentioning on the data front in the euro area, while US Initial Claims have missed expectations during the last week.
EUR/USD levels to consider
At the moment the pair is losing 0.60% at 1.0953 and a break below 1.0895 (38.2% Fibo of 1.1496-1.0524) would aim for 1.0524 (low Dec.3) and finally 1.0519 (low Apr.13). On the flip side, the next hurdle lines up at 1.1063 (100-day sma) ahead of 1.1124 (61.8% Fibo of 1.1496-1.0524) and then 1.1219 (downtrend from May 2014).
(Market News Provided by FXstreet)