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Forex pairs in this Article » EUR/USD
FXStreet (Edinburgh) - The EUR/USD is now giving away initial gains, returning to the red territory around 1.3700 the figure after softer than expected French PMI data.

EUR/USD eyes on PMIs

The pair is now suffering the weaker French data, showing that the manufacturing PMI dropped to 48.5 in February from 49.3 in the previous month. The EUR is now testing the 1.3710/00 area ahead of the more relevant German and EMU results. Across the pond, the weekly report on the labour market, the Markit PMI and CPI figures would be in the limelight. In light of yesterday’s FOMC minutes, Analyst Lars Christensen at Danske Bank commented, “The January FOMC minutes released last night did not reveal any indications that the Fed is about to deviate from its current tapering path. However, data out of the US have been surprisingly weak recently and while we still expect the Fed to continue to taper its bond purchases and still look for a lower EUR/USD”.

EUR/USD levels to watch

As of writing the pair is losing 0.17% at 1.3708 with the next support at 1.3695 (low Feb.18) ahead of 1.3685 (low Feb.17). On the upside, the initial hurdle lines up at 1.3773 (high Feb.19) followed by 1.3777 (high 2014 Jan.2) and finally 1.3796 (76.4% of 1.3894-1.3477).
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