EUR/USD finds support above 1.1250

By FXStreet FXStreet (Córdoba) – EUR/USD decline from levels on top of 1.1300 found support above 1.1250. The pair bottomed during the American session at 1.1257, the lowest level since last Friday and then bounced modestly to the upside.

The recovery was contained by 1.1285 and near the end of trading in Wall Street was hovering around 1.1275, 30 pips below yesterday’s closing price.

The euro is falling for the second day in a row against the US dollar as it continues to retreat from 1.1372 (Sept 14 high). The economic data release today in the US had a modest impact on the US dollar, that gained momentum during the American session as stocks climbed in Wall Street and Treasuries tumbled. All eyes lie on the Federal Reserve decision on Thursday. If the central bank raise rates it would increase the monetary policy divergence with the European Central Bank.

EUR/USD outlook

The pair last week managed to break an important resistance area around 1.1220 and jumped to 1.1300. Today it failed to recover after Monday’s losses and pulled back. The euro remains limited by 1.1300 and is moving with a bearish bias in the very short term. The positive signal is that …read more

Source:: FX Street