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21 May 2015
EUR/USD eases-off highs near 1.1120
FXStreet (Mumbai) - The shared currency snapped its three-day decline and swung back higher against American dollar in the early European trades, lifting EUR/USD to fresh session highs above 1.11 handle. The major remains supported as the latest Fed’s minutes offered no surprise regarding the possibility of a rate hike in the US which dragged the greenback lower across the board.
EUR/USD back above 1.11 handle
The EUR/USD pair trades 0.27% at 1.1124, retreating from 1.1130 fresh session highs. EUR/USD maintain a post-FOMC minutes bid tone as the greenback suffered after the Fed’s minutes revealed that a rate hike is doubtful at the next FOMC meeting in June while acknowledged weaker economic growth in Q1 2015.
However, the upside remains restricted as the underlying divergence between the US and Eurozone monetary policy outlook continue to weigh on the single currency. While fears over potential Grexit also keeps EUR/USD undermined.
Meanwhile, traders now shift their focus towards a raft of services and manufacturing PMIs across the Euro area economies followed by ECB meeting accounts due later in the session for fresh incentives.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1152 (May 20 High) levels, above which gains could be extended to 1.1200 levels. On the flip side, support is seen at 1.1100 below which it could extend losses to 1.1063 (May 20 Low) levels.
EUR/USD back above 1.11 handle
The EUR/USD pair trades 0.27% at 1.1124, retreating from 1.1130 fresh session highs. EUR/USD maintain a post-FOMC minutes bid tone as the greenback suffered after the Fed’s minutes revealed that a rate hike is doubtful at the next FOMC meeting in June while acknowledged weaker economic growth in Q1 2015.
However, the upside remains restricted as the underlying divergence between the US and Eurozone monetary policy outlook continue to weigh on the single currency. While fears over potential Grexit also keeps EUR/USD undermined.
Meanwhile, traders now shift their focus towards a raft of services and manufacturing PMIs across the Euro area economies followed by ECB meeting accounts due later in the session for fresh incentives.
EUR/USD Technical Levels
The pair has an immediate resistance at 1.1152 (May 20 High) levels, above which gains could be extended to 1.1200 levels. On the flip side, support is seen at 1.1100 below which it could extend losses to 1.1063 (May 20 Low) levels.