FXStreet (Mumbai) – The bid tone on the EUR exhausted amid risk aversion in the stocks, pushing the EUR/USD pair back to 1.1250 levels from the weekly peaks in the vicinity of 1.13 levels.

Focus on stocks and German CPI

The drop in the European stock markets if offering support to the funding currencies like the EUR. The Germany’s DAX weakened almost 1%, while the France’s CAC retreated 1.00%. The pan-European Euro Stoxx 50 index declined 1% as well.

The investors also await the preliminary German CPI figure, which is expected to show the cost of living declined in the Germany largely on account of the weak energy prices.

EUR/USD Technical Levels

The immediate resistance is seen at 1.1296 (23.6% Of May 2014-Mar 2015 plunge), above which the pair could rise to 1.1332 (Sep 1 high). On the other side, support is seen at 1.1242 (10-DMA) and 1.12 levels.

The bid tone on the EUR exhausted amid risk aversion in the stocks, pushing the EUR/USD pair back to 1.1250 levels from the weekly peaks in the vicinity of 1.13 levels.

(Market News Provided by FXstreet)

By FXOpen