FXStreet (Edinburgh) – After an ephemeral visit to the critical 1.1000 handle, EUR/USD is now returning to the 1.0985/80 band.

EUR/USD firmer on US docket

The solid tone in the pair has been bolstered by another set of disappointing releases in the US economy, where the GDP has contracted at an annual pace of 0.7% during the first quarter, consumer confidence dropped to a 6-month low at 90.7 gauged by the Reuters/Michigan index and the Chicago PMI fell to 46.2, the lowest print since February.

The other recent catalyst of the pair, that is, the Greek front, seems to have entered an impasse of news/rumours, although hopes of an imminent deal remain well and sound, extending the support to the euro.

EUR/USD levels to watch

At the moment the pair is up 0.33% at 1.0985 with the next resistance at 1.007 (high May 29) followed by 1.1062 (low May 20) and then 1.1067 (38.2% of 1.1468-1.0819). On the downside, a break below 1.0867 (low May 28) would target 1.0819 (low May 27) and finally 1.0785 (low Apr.24).

After an ephemeral visit to the critical 1.1000 handle, EUR/USD is now returning to the 1.0985/80 band…

(Market News Provided by FXstreet)

By FXOpen