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Forex pairs in this Article » EUR/USD
FXStreet (Guatemala) - EUR/USD is drifting on the bid towards the highs, which were created, on the back of the Nonfarm Payrolls disappointment on the session.

EUR/USD spiked through 1.3640 and settled thereafter sub the 1.36 handle and has been steadily climbing higher ever since and towards the end of the week. US yields have been flattened further on the Nonfarm Payrolls release where the number disappointed at 113k vs a consensus of 185k. However, strategist at Rabobank have taken other things into account and said that they expect EUR/USD to end the year lower. “However, we do not expect that the EUR will yield ground to the USD willingly and see risk that EUR/USD could struggle to break below the 1.300 level this year. There are several reasons to expect that the EUR will remain resilient in the face of Fed tapering this year. In response to recent emerging market turmoil, the EUR even began to display signs of safe haven behaviour. We view the key risks to this outlook as being either a step up in dovish rhetoric from the ECB or a pick-up in the pace of tapering by the Federal Reserve. Both events could knock EUR/USD sharply lower. That said, Draghi refrained from showing a dovish hand at this week’s ECB press conference and the disappointing US January payrolls report provided little reason to expect the Federal Reserve to precede with anything other than caution in reducing the level of its monthly asset purchases”.

EUR/USD Levels

The 20 DMA is 1.3601, the 50 DMA is 1.3647 and the 200 DMA is 1.3382. RSI (14) 62.61. Supports are 1.3482, 1.3533, 1.3555, 1.3583 and 1.3590. Spot is 1.3628, while resistances are 1.3639, 1.3657 and 1.3677.
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