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Forex pairs in this Article » EUR/USD (Edinburgh) -The rebound from multi-week lows around 1.3160 continues to pick up pace on Tuesday, gradually lifting the EUR/USD to the 1.3185/90 area.

EUR/USD under pressure on US data

The selling interest would remain around the pair nonetheless, as data from the US manufacturing sector is expected to post decent results today – Markit PMI and ISM – giving extra oxygen to the ongoing USD rally. In light of the recent improvement in the euro zone data, Strategist Emmanuel Ng at OCBC Bank commented, “EZ PMIs came in largely in line with prior expectations and remained supportive of the view of a nascent recovery… This however did not deter the EUR-USD from drifting lower during the NY long weekend and we look for a top heavy tone to persist in the near term. If the 55-day MA (1.3190) is violated on a sustained basis, look for a drift towards the 200-day MA (1.3145)”.

EUR/USD relevant levels

At the moment the pair is losing 0.07% at 1.3182 and a breakdown of 1.3144 (MA200d) would target 1.3115 (low Jul.22) en route to 1.3089 (low Jul.19). On the upside, the initial hurdle lines up at 1.3237 (high Sep.2) ahead of 1.3255 (high Aug.30) and finally 1.3298 (low Aug.22).
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