EUR/USD jumps to test 100-DMA amid risk-off

By FXStreet FXStreet (Mumbai) – A fresh bid-wave ran through the EUR/USD pair over the last hours, with the bulls extending the recovery from 1.0860 region towards 100-DMA at 1.0950.

EUR/USD firmer, between key DMAs

Currently, the EUR/USD pair trades 0.30% higher at fresh three-day highs of 1.0944, finally taking-out key resistance at 1.0940 levels. The main currency pair extends its bullish momentum for the second straight session and climbs further on the 1.09 handle, and now looks to test the next barrier at 100-DMA.

The major takes on the recovery from near 50-DMA at 1.0860 and rises nearly 40-pips in Asia, as a renewed bout of risk-version hit the markets on the back of oil sell-off, which boosted the demand for safe-havens such as the Euro. In times of uncertainties and global market turmoil, investors prefer to protect their capital and hence, give up risker assets in favour of safe-havens.

On Tuesday, EUR/USD also benefited from above estimates Germany’s ZEW surveys and also from a tad better CPI print from Euro zone. Also, sharp declines in the GBP pushed up the EUR/GBP cross, which further contributed to the upside in the EUR/USD pair.

Looking ahead, markets now await the US CPI figures due in the …read more

Source:: FX Street