FXStreet (Córdoba) - The EUR/USD is going through a consolidation phase Monday, as the bounce from a fresh 1-year low of 13118 was capped by the 1.3145 area.

The EUR/USD is currently trading at the 1.3135 zone, effectively unchanged on the day, despite a series of disappointing PMIs from France, Germany and the Eurozone were released earlier.

Activity is likely to remain subdued for the rest of the day as US is out for Labor Day while investors choose to stay in the sidelines ahead of the European Central Bank meeting Thursday and the nonfarm payrolls Friday.

EUR/USD technical perspective

"The EUR/USD holds mid-range having been as low as 1.3119 past Asian session, with the hourly chart maintaining a quite neutral technical stance as per indicators flat around their midlines, and price barely above an also flat 20 SMA", said Valeria Bednarik, chief analyst at FXStreet. "In the 4 hours chart indicators hold well below their midlines, with RSI turning back lower after correcting oversold headings and steady near 30, all of which maintains the risk to the downside".

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