18 Jul 2013
EUR/USD muted on Bernanke
FXstreet.com (Barcelona) -The EUR/USD continues to meander between 1.3080 and 1.3100 on Thursday, as
Chairman Bernanke’s second testimony just kicked in.
EUR/USD not much expected from today's testimony
Unlike yesterday’s testimony, market expectations regarding announcements or market-movers are nearly flat today, allowing further extension of the current consolidation pattern. In the opinion of Stephen Gallo, Strategist at BMO, “As financial markets adjust to QE tapering and as relative fundamentals for key developing economies improve, we favour being short the major funding currencies with a proportionately higher exposure to downside in the EUR and the JPY, relative to the USD and the CHF. Major central banks appear set to keep rates anchored at low levels.
EUR/USD levels to watch
At the moment the pair is retreating 0.32% at 1.3082 with the next support at 1.3078 (MA200d) followed by 1.3051 (low Jul.16) and finally 1.3036 (MA21d). On the upside, a break above 1.3179 (high Jul.17) would expose 1.3208 (high Jul.11) and then 1.3255 (high Jun.21).
Chairman Bernanke’s second testimony just kicked in.
EUR/USD not much expected from today's testimony
Unlike yesterday’s testimony, market expectations regarding announcements or market-movers are nearly flat today, allowing further extension of the current consolidation pattern. In the opinion of Stephen Gallo, Strategist at BMO, “As financial markets adjust to QE tapering and as relative fundamentals for key developing economies improve, we favour being short the major funding currencies with a proportionately higher exposure to downside in the EUR and the JPY, relative to the USD and the CHF. Major central banks appear set to keep rates anchored at low levels.
EUR/USD levels to watch
At the moment the pair is retreating 0.32% at 1.3082 with the next support at 1.3078 (MA200d) followed by 1.3051 (low Jul.16) and finally 1.3036 (MA21d). On the upside, a break above 1.3179 (high Jul.17) would expose 1.3208 (high Jul.11) and then 1.3255 (high Jun.21).