EUR/USD halts a 2-day rally, surrenders 1.09 handle
By FXStreet FXStreet (Mumbai) – Having peaked at 1.0940 levels in opening trades, EUR/USD drifts lower and runs through fresh sellers below 1.09 handle over the last hours as risk-on dominates Asia on stabilizing Chinese equities.
EUR/USD drops to lows near hourly 200-SMA
Currently, the EUR/USD pair trades 0.44% lower at 1.0884, recovering slightly from fresh session lows of 1.0873 struck near the hourly 200-SMA at 1.0879. The main currency pair halts a 2-day rally and sees steep losses this session as the demand for safe-havens such as the euro was hit on the back risk-on relief rally seen in China’s stock markets, after PBOC fixed USD/CNY rate lower today and the authorities shelved the circuit breaker after the previous sell-off.
Moreover, the US dollar staged a solid come-back against its major competitors on the back of re-emergence of risk-on trades and also markets bid the greenback ahead of the crucial US payrolls data due later in the day.
Meanwhile, in absence of first-tier economic data from the Euro land, markets will watch for second-line of releases viz., the German industrial production and trade balance, before the main risk event for today, the US NFP.
EUR/USD Technical Levels
In terms of technicals, the pair finds …read more
Source:: FX Street
