EUR/USD losing the grip at 1.3540

By FXstreet.com | June 10, 2014 AAA

FXStreet (Edinburgh) - The EUR/USD now accelerates its intraday descent below 1.3540 amidst increasing selling interest around the US dollar.

EUR/USD focus on post-ECB lows near 1.3500

In a context where speculators have increased their EUR short positions (according to the CFTC last report pre-ECB), spot is extending its correction from recent tops around 1.3670. in addition, the absence of significant releases in the euro docket plus scarce volatility in the global markets are combining to leave the pair more vulnerable. “Positioning does not appear to be a significant barrier to more EUR weakness - a multitude of surveys suggest the market is still only moderately short euro, given the Eurozone C/A surplus. We look to sell any rallies to the low 1.37s, eyeing 1.35 multi-day/week”, observed analysts at Westpac Global Strategy Group.

EUR/USD key levels

As of writing the pair is down 0.33% at 1.3548 with the immediate support at 1.3506 (low Jun.6) followed by 1.3482 (low Feb.6) and then 1.3477 (2014 low Feb.3). On the upside, a breakout of 1.3602 (high Jun.10) would expose 1.3649 (21-d MA) and finally 1.3656 (200-d MA).

comments powered by Disqus
Related Forex Analysis
  1. USD/JPY crashes below 106.50, more downside in store
    Forex News

    USD/JPY crashes below 106.50, more downside in store

  2. Trading Video: Is the S&P 500 Rebound, VIX Retreat a Trend or Interlude
    Forex News

    Trading Video: Is the S&P 500 Rebound, VIX Retreat a Trend or Interlude

  3. EUR/USD bulls wake up and drive pair above 1.2800
    Forex News

    EUR/USD bulls wake up and drive pair above 1.2800

  4. Strategy Video: Which is the Better Breakout Candidate - AUDUSD or EURJPY?
    Forex News

    Strategy Video: Which is the Better Breakout Candidate - AUDUSD or EURJPY?

  5. AUD/USD Range Endures With Clearer Cues From Candlesticks Desired
    Forex News

    AUD/USD Range Endures With Clearer Cues From Candlesticks Desired

Trading Center