EUR/USD Trims Gains ahead of ZEW
After hitting daily peaks near 1.1350, EUR/USD has now embarked in a correction lower towards the 1.1320 area.
EUR/USD attention to ZEW, US data
The
pair could not sustain the earlier bull run to the mid-1.1300s
following a positive open in European equity markets, retreating instead
to the current 1.1325/20 band. Data wise, EMU’s Current Account surplus
has widened to a non-seasonally adjusted €11.1 billion during February
from January’s €8.3 billion, although markets paid little attention to
the result.
More relevant instead will be the ZEW Survey in
Germany, with Economic Sentiment expected to tick higher to 8.3 during
the current month. Across the pond, Housing Starts and Building Permits
are only due.
EUR/USD levels to watch
The
pair is now up 0.13% at 1.1328 and a break above 1.1454 (2016 high
Apr.7) would open the door to 1.1496 (monthly high Oct.15 2015) and then
1.1713 (high Aug.24 2015). On the flip side, the immediate support
aligns at 1.1219 (38.2% Fibo of 1.0820-1.1455) followed by 1.1190
(55-day sma) and finally 1.1142 (low Mar.24).
