23 Sep 2013
EUR/USD toying with 1.3500
FXstreet.com (Edinburgh) -The EUR/USD is hovering over the key 1.3500 handle on Monday, gathering some traction after bottoming out around 1.3480 although the selling pressure continues to build up.
EUR/USD weaker on data
Disappointing results from flash PMI prints in the core euro zone members have dragged the pair lower on Monday. Adding to the bearish sentiment, German Chancellor Angela Merkel would face not few obstacles on her way to form a coalition government after she failed to get majority on Sunday elections. In the view of Chief Strategist Camilla Sutton at Scotiabank, short-term technical studies remain bullish, “with all technicals in buy territory and no warning signs on the charts. The RSI is at 67, but historically it has run higher before reaching overbought levels”.
EUR/USD relevant levels
At the moment of writing the pair is retreating 0.22% at 1.3495 and a breakdown of 1.3453 (high Aug.20) would target 1.3399 (high Aug.28) en route to 1.3385 (high sep.16). On the upside, the initial hurdle remains at 1.3525 (hourly cloud top) followed by 1.3555 (high Sep.23) and finally 1.3569 (high Sep.19).
EUR/USD weaker on data
Disappointing results from flash PMI prints in the core euro zone members have dragged the pair lower on Monday. Adding to the bearish sentiment, German Chancellor Angela Merkel would face not few obstacles on her way to form a coalition government after she failed to get majority on Sunday elections. In the view of Chief Strategist Camilla Sutton at Scotiabank, short-term technical studies remain bullish, “with all technicals in buy territory and no warning signs on the charts. The RSI is at 67, but historically it has run higher before reaching overbought levels”.
EUR/USD relevant levels
At the moment of writing the pair is retreating 0.22% at 1.3495 and a breakdown of 1.3453 (high Aug.20) would target 1.3399 (high Aug.28) en route to 1.3385 (high sep.16). On the upside, the initial hurdle remains at 1.3525 (hourly cloud top) followed by 1.3555 (high Sep.23) and finally 1.3569 (high Sep.19).