FXStreet (Edinburgh) – A bout of optimism around the euro has lifted EUR/USD to test the mid-1.1200s on Friday, although the bull run proved to be ephemeral eventually.

EUR/USD weaker on Greece, dollar

The single currency keeps suffering the lack of direction in the debt talks between Greece and its EU creditors, while all hopes of a deal have been postponed for the next Eurogroup meeting on June 18th. The pair is reacting adversely in response to the fake promises of a close deal that have been hovering over the markets as of late, increasing at the same time the chances of Greece leaving the bloc.

In the data space, Spanish final inflation figures in May showed domestic consumer prices ticking higher to 0.5% MoM and 0.4% on a yearly basis. Measured by the broader HICP, prices rose 0.4% inter-month and contracted 0.3% over the last twelve months.

EUR/USD key levels

As of writing the pair is losing 0.25% at 1.1229 with the next support at 1.1182 (low Jun.11) followed by 1.1087 (low Jun.8) and finally 1.1049 (low Jun.5). On the flip side, a breakout of 1.1268 (high Jun.12) would target 1.1334 (high Jun.11) en route to 1.1387 (high Jun.10).

A bout of optimism around the euro has lifted EUR/USD to test the mid-1.1200s on Friday, although the bull run proved to be ephemeral eventually…

(Market News Provided by FXstreet)

By FXOpen