EUR/USD closer to 1.11 ahead of European open

By FXStreet The single currency remains offered ahead of the opening bell in London today, with EUR/USD meandering the low-1.1100s.

EUR/USD attention to PMIs

The pair keeps the trade in the lower end of the recent range near 1.1100 the figure, extending the downbeat sentiment from last week although it remains well supported around the mid-1.1000s so far, where is located the key 200-day sma.

EUR will remain under pressure in light of today’s flash PMI figures in Euroland, while cautiousness amongst traders is poised to grow bigger ahead of the ECB meeting in March.

According to the last CFTC positioning report, speculative investors kept scaling back their EUR shorts during the week ended on February 16, this time down more than 15000 contracts to 48205 contracts, the lowest level since mid-June 2014.

EUR/USD levels to watch

The pair is now retreating 0.20% at 1.1106 and a breach of 1.1050 (200-day sma) would target 1.0965 (61.8% Fibo of December up-move) and finally 1.0709 (YTD low Jan.5). On the other hand, the next up barrier lines up at 1.1220 (23.6% Fibo of December up-move) followed by 1.1378 (high Feb.11) and then 1.1496 (monthly high Oct.20 2015).
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Source:: FX Street