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23 Feb 2015
EUR/USD back in the range – FXStreet
FXStreet (Barcelona) - FXStreet Editor and Analyst, Omkar Godbole, shares the key technical levels and the outlook for EUR/USD into the German IFO data release, with the pair trading uninspired from the Greek (probable) deal.
Key Quotes
“The EUR/USD is back in the 1.1430-1.1320 trading range as investors cheered Eurogroup’s decision to provide Greece with a 4-month bailout extension. Greece had asked for a six month deal, while the Eurogroup decided to provide a four month relief.”
“The broader agreement is still pending and could be reached by tomorrow after Greece provides a list of bailout conditions today for approval by the Troika.”
“Markets believe that the agreement would be reached which is evident from the sharp rebound in the EUR/USD pair from 1.1277 to 1.1427 levels. However, the pair failed to sustain above 1.14 levels.”
“The German IFO data due for release today could trigger some volatility in the pair. A disappointing IFO reading could push the pair down to 1.1350, a breach of which could see the pair extend losses to 1.1314 (50% retracement of 1.1096-1.1532).”
“On the other hand, repeated failure to break below the hourly 200-MA at 1.1372 could see a renewed buying interest. In such a case the pair may rise to 1.14-1.1430 levels.”
“Apart from the domestic issues, Janet Yellen’s semi-annual testimony on the economy and monetary policy would be watched out by the markets.”
Key Quotes
“The EUR/USD is back in the 1.1430-1.1320 trading range as investors cheered Eurogroup’s decision to provide Greece with a 4-month bailout extension. Greece had asked for a six month deal, while the Eurogroup decided to provide a four month relief.”
“The broader agreement is still pending and could be reached by tomorrow after Greece provides a list of bailout conditions today for approval by the Troika.”
“Markets believe that the agreement would be reached which is evident from the sharp rebound in the EUR/USD pair from 1.1277 to 1.1427 levels. However, the pair failed to sustain above 1.14 levels.”
“The German IFO data due for release today could trigger some volatility in the pair. A disappointing IFO reading could push the pair down to 1.1350, a breach of which could see the pair extend losses to 1.1314 (50% retracement of 1.1096-1.1532).”
“On the other hand, repeated failure to break below the hourly 200-MA at 1.1372 could see a renewed buying interest. In such a case the pair may rise to 1.14-1.1430 levels.”
“Apart from the domestic issues, Janet Yellen’s semi-annual testimony on the economy and monetary policy would be watched out by the markets.”