EUR/USD eyes 200-DMA

By FXStreet FXStreet (Mumbai) – The bid tone on the EUR continues to weaken, allowing the EUR/USD pair to make a slow journey down towards its 200-DMA located at 1.1249 levels.

Offered below 23.6% R of larger downtrend

The spot was offered after multiple attempts to sustain above 1.1296 (23.6% retracement of May 14-Mar 15 plunge) failed. The losses in the European equity markets also failed to prop up the single currency. The pan-European Euro Stoxx 600 index weakened 0.77%, despite which the Euro is trading 0.15% lower around 1.1260.

Ahead in the day, the weak tone may remain intact or the spot could swing into losses depending upon the sentiment on the Wall Street. The US monthly PPI figure and the Michigan consumer confidence index also affected the pair.

EUR/USD Technical Levels

The immediate support is located at 1.1249 (200-DMA), under which losses could be extended to 1.12 levels. On the other side, resistance is seen at the daily high of 1.1310, above which a major hurdle is seen at 1.1332 (Sep 1 high).
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Source:: FX Street