Forex: EUR/USD dominated by the crosses - FXWW

FXstreet.com (Barcelona) - EURUSD is currently slightly higher at 1.2992 bids from previous weekly close Friday at 1.2985, for the start of a week "we will have plenty of risk events to keep the market on its toes," says FXWW founder Sean Lee, who adds: "Today we have HSBC Chinese manufacturing PMI and Australian retail sales during Asian trade and that's just the beginning of a busy week of central bank decisions culminating in the US jobs data on Friday." Both risk data today could affect EURAUD, which is also opening slightly higher, as AUDUSD is more flat than Euro in the open.

"EURUSD is being dominated by events in the crosses," expands Sean, "with EURJPY obviously the main driver. Range trading is still dominating but the risk would still seem to be to the topside; the market is still sitting short but lack of EZ debt-related headlines is bound to affect the sentiment. Nevertheless, stick to the technical levels for now, the bearish trendline capping and the 200-day MA providing support again," the analyst says.

Immediate resistance to the upside for EURUSD shows at Thursday's highs 1.3015, followed by Friday's highs 1.3030, and Oct 05 highs at 1.3071. To the downside, nearest term support lies at Friday's lows 1.2967, followed by Nov 1st lows/55 day SMA at 1.2922/15, and Wednesday's lows/200 day EMA at 1.2878.