FXStreet (Mumbai) – The EUR/USD pair is moving around its hourly 50-MA located at 1.1023 levels amid moderate weakness in the European stock markets.

Eyes key Fib level

The shared currency is being supported by the moderate losses in the European stock markets. The pan-European blue chip Euro Stoxx 50 index fell 0.17%. Meanwhile, the upside is being capped by Fed rate outlook. At 1.1023, the pair is now eyeing 1.1038 (23.6% Oct high-low). The spot failed to sustain above the same in the previous session.

Later today, the pair could witness the action on ECB’s Draghi’s comments. The US factory orders could be ignored as markets would be interested to see if Draghi provides more hints regarding easing in December.

EUR/USD Technical Levels

The immediate resistance is seen at 1.1038 (23.6% of Oct high-low), which coincides with the hourly 200-MA. A break above the same would expose 1.1088 (50% of Mar-Aug rally). On the other side, support is seen at 1.10 handle (hourly 100-MA), under which the pair could drop to 1.0940 (61.8% of Mar-Aug rally).

The EUR/USD pair is moving around its hourly 50-MA located at 1.1023 levels amid moderate weakness in the European stock markets.

(Market News Provided by FXstreet)

By FXOpen