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11 Mar 2014
EUR/USD regains 1.3850
FXStreet (Edinburgh) - After bottoming out near 1.3830 on Monday, the EUR/USD is now advancing through the 1.3850 level.
EUR/USD keeps the trade above 1.3800
Despite the current correction lower from recent 2014 highs near 1.3920, the EUR’s bias remains to the upside, mainly propped up by the recent ECB inaction and the slow (and
fragile) recovery in the euro bloc. Data releases in Germany earlier on showed that both trade and current account surpluses during January shrunk to €17.2 billion and €16.2 billion, respectively, missing expectations. Tim Riddell, Head of Global Markets Research at ANZ, commented “The break of the downtrend off 2008’s high (1.3835) should allow for a series of upside measured moves to be met over coming weeks… Interim targets lie either side of 1.4000 (at 1.3960 and 1.4040) with larger measured targets attracting in the 1.4150-1.4200 area, as long as dips manage to sustain the break above 1.3835”.
EUR/USD levels to consider
The pair is now losing 0.15% at 1.3855 with the immediate support at 1.3811 (23.6% of 1.3477-1.3915) ahead of 1.3800 (psychological level) and finally 1.3748 (38.2% of 1.3477-1.3915). On the upside, a breakout of 1.3897 (high Mar.10) would expose 1.3915 (2014 high Mar.7) and then 1.4000 (psychological level).
EUR/USD keeps the trade above 1.3800
Despite the current correction lower from recent 2014 highs near 1.3920, the EUR’s bias remains to the upside, mainly propped up by the recent ECB inaction and the slow (and
fragile) recovery in the euro bloc. Data releases in Germany earlier on showed that both trade and current account surpluses during January shrunk to €17.2 billion and €16.2 billion, respectively, missing expectations. Tim Riddell, Head of Global Markets Research at ANZ, commented “The break of the downtrend off 2008’s high (1.3835) should allow for a series of upside measured moves to be met over coming weeks… Interim targets lie either side of 1.4000 (at 1.3960 and 1.4040) with larger measured targets attracting in the 1.4150-1.4200 area, as long as dips manage to sustain the break above 1.3835”.
EUR/USD levels to consider
The pair is now losing 0.15% at 1.3855 with the immediate support at 1.3811 (23.6% of 1.3477-1.3915) ahead of 1.3800 (psychological level) and finally 1.3748 (38.2% of 1.3477-1.3915). On the upside, a breakout of 1.3897 (high Mar.10) would expose 1.3915 (2014 high Mar.7) and then 1.4000 (psychological level).