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31 Jul 2015
EUR/USD breaks above 1.1100 as dollar weakens
FXStreet (Córdoba) - EUR/USD pierced the 1.1100 level and printed fresh as the dollar continues to weaken on the back of extremely low wage growth in the US.
US labor cost index rose at its slowest pace since 1982 in the second quarter, suggesting slack remains in the jobs markets, which raised doubts about the imminency of Fed liftoff in the upcoming months. The Federal Reserve is monitoring wage numbers as a signal the labor market is improving.
EUR/USD rallied nearly 200 pips over the last minutes, erasing FOMC statement and US GDP inspired losses, but stalled ahead of Monday’s high. The movement was probably reinforced by month-end flows. The pair struck a high of 1.1113 and it was last trading at 1.1090, recording a 1.46% gain on the day.
EUR/USD key levels
As for technical levels, EUR/USD could find next resistances at 1.1130 (Jul 27 high ) and 1.1196 (Jul 13 high). On the other hand, supports could be found at 1.0920 (Jul 31 low), 1.0893 (Jul 30 low) and 1.0869 (Jul 22 low).
US labor cost index rose at its slowest pace since 1982 in the second quarter, suggesting slack remains in the jobs markets, which raised doubts about the imminency of Fed liftoff in the upcoming months. The Federal Reserve is monitoring wage numbers as a signal the labor market is improving.
EUR/USD rallied nearly 200 pips over the last minutes, erasing FOMC statement and US GDP inspired losses, but stalled ahead of Monday’s high. The movement was probably reinforced by month-end flows. The pair struck a high of 1.1113 and it was last trading at 1.1090, recording a 1.46% gain on the day.
EUR/USD key levels
As for technical levels, EUR/USD could find next resistances at 1.1130 (Jul 27 high ) and 1.1196 (Jul 13 high). On the other hand, supports could be found at 1.0920 (Jul 31 low), 1.0893 (Jul 30 low) and 1.0869 (Jul 22 low).