FXStreet (Mumbai) – The EUR/USD pair trimmed gains to trade around 1.0915, while the European stocks trade mixed following a firmer start.
Focus on stocks
The shared currency could continue to track the movement in the European equities as the data docket is empty. The Eurozone trade balance released earlier today was largely ignored by the markets.
The stock markets turned risk averse on Tuesday following a weak China data and sell-off in Oil. However, oil prices witnessed a technical recovery in Asia, which appears to have calmed market nerves for now.
The major European markets opened on a positive note, but have trimmed gains to trade flat to positive. The carry unwind may resume once again if the stock markets fall back into losses.
EUR/USD Technical Levels
The immediate resistance is seen at 1.0955 (50-DMA), above which the pair could target 1.10 handle. A break higher would expose 200-DMA at 1.1030. On the other hand, a break below 1.0890 (38.2% of 1.1495-1.0517)., would open doors for a drop to 1.0796 (Monday’s low).
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(Market News Provided by FXstreet)