FXStreet (Edinburgh) – The shared currency keeps reclaiming ground lost to the greenback on Monday, now sending EUR/USD back to test the 1.1340/45 band.
EUR/USD weak, focus on ECB
After a brief test of the 1.1300 area during the European morning, spot has managed to pick up pace and trim earlier losses following a wave of buying interest around EUR.
Market participants remain wary however, in light of the upcoming ECB meeting (Thursday) and the always-effervescent press conference by President M.Draghi. Consensus amongst traders currently expects a dovish tone from the Council, with the ongoing QE programme and the stronger exchange rate taking centre stage.
EUR/USD relevant levels
As of writing the pair is retreating 0.07% at 1.1339 and a break below 1.1300 (psychological level) would target 1.1232 (55-day sma) en route to 1.1216 (2-month uptrend). On the flip side, the next up barrier aligns at 1.1472 (downtrend from May’14 top) followed by 1.1500 (psychological handle) and then 1.1714 (high post-PBoC move Aug.24).
(Market News Provided by FXstreet)