FXStreet (Mumbai) – The EUR/USD pair was offered at the high of 1.1421 and now trades around 1.1390 levels even though Fed chairwoman Yellen refrained from throwing light on the timing of the liftoff.
Struggles to move back above 1.14
The spot appears making another attempt to move above 1.14 levels after Yellen said the policymakers want to see some further improvement in the labor market before the rates could be moved. Yellen also said the low inflation is likely to be transitory and the overseas turmoil could have an undesirable effect on the economy.
So far the dovish tone carried by Yellen’s speech has not led to fresh sell-off in the USD, although the two-year treasury yield has extended losses to fresh session low of 0.718%.
EUR/USD Technical Levels
The immediate resistance is seen at 1.1436 (June 18 high), above which the spot could extend gains to 1.15 levels. On the other side, the support is seen at 1.13 and 1.1229 (200-DMA) levels.
(Market News Provided by FXstreet)