EUR/USD: Off lows and back above 50% Fibo level

By FXStreet The EUR/USD is trading above 1.1115 (50% of 1.1714-1.0517) after selling interest ran out of steam at a low of 1.1104.

Equity rally hurts EUR

The common currency remains on a weak footing as the stock markets extended gains after opening higher. The Stoxx 50 index now trades almost 2% higher on the day. However, the selling interest may have stalled after report hit the wires four ECB council members opposed march easing package.

Ahead in the day, the pair is likely to continue tracking the action in the European and US stock markets. The pair currently trades around 1.1135 levels.

EUR/USD Technical Levels

The immediate support is seen at 1.1115 (50% of 1.1714-1.0517), under which the pair could drop to 1.1086 (Feb 8 low). If taken out, the spot could test 1.1045 (200-DMA). On the other hand, a break above 1.1173 (23.6% of 1.0517-1.1376) could see the pair re-test 1.1218 (previous day’s high). A break higher would expose 1.1296 (23.6% of May 2014 high-Mar 2015 low).
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Source:: FX Street