EUR/USD: Weak US industrial production ignored, trades above 1.13
FXStreet (Mumbai) – The EUR/USD pair recovered above 1.13, but remains under pressure as the positive action in the US stocks overshadowed the weak US industrial production figure.
US stocks rise, EUR remains on a back foot
The S&P 500 index rose 5 points in the early US session after falling 8 points on Monday. The DJIA also strengthened 48 points. Consequently, the EUR remains moderately under pressure, trading around 1.1310 EUR/USD levels.
The US industrial production in August contracted 0.4%, compared to the expected 0.2% contraction. The weak data managed to ensure that the pair recovered from 1.1293 EUR/USD to trade just above 1.13 levels. With no major data due now, the focus I likely to be on the action in the US equity markets.
EUR/USD Technical Levels
The immediate resistance is seen at 1.1323 EUR/USD (hourly 50-MA), above which the spot could rise to 1.1373 EUR/USD (previous day’s high). On the other side, support is seen at 1.1284 (daily low), under which the pair could drop to its 200-DMA located at 1.1239 EUR/USD.
The EUR/USD pair recovered above 1.13, but remains under pressure as the positive action in the US stocks overshadowed the weak US industrial production figure.
(Market News Provided by FXstreet)