FXStreet (Mumbai) – The shared currency bounced-off lows and extends its recovery versus the US dollar in the mid-European session, lifting EUR/USD closer towards 1.12 handle. The main currency pair stalled its downslide and recouped major chunk of losses as markets anticipate new proposals from both Greece and its creditors while above estimates Euro zone CPI print also provided the much needed impetus to the euro.
EUR/USD rises from 1.1150
The EUR/USD pair trades -0.40% lower at 1.1192, retracing from 1.1150 levels reached on EZ CPI data. The major capped the downside and climbed further towards 1.12 barrier as traders cheered the latest Euro zone CPI print which revealed that inflation in the euro zone remained in positive territory for the second straight month in June, but the headline gauge slowed a bit, meeting estimates.
While, rumours doing the rounds that Athens may propose something else later today in a bid to avert a Greek default also offered some support to the EUR bulls. Greece is due to make a EUR1.6 bln repayment to the IMF by midnight CET tonight.
Markets will remain glued to Greece updates while a set of US economic releases will be closely watched later in the NA session for further momentum.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1219 (Today’s High) levels, above which gains could be extended to 1.1279 (June 29 High) levels. On the flip side, support is seen at 1.1154 (June 24 Low) below which it could extend losses to 1.1129 (June 26 Low) levels.
(Market News Provided by FXstreet)