13 Feb 2018
The selling interest around the greenback continues to be the sole driver behind today's up move in EUR/USD to the 1.2350 area, or fresh 4-day toops.
EUR/USD boosted by USD-selling
Spot keeps pushing higher during the first half of the week, always backed by the renewed and strong offered bias surrounding the greenback in a context of upbeat sentiment in the risk-associated universe.
Further news regarding the buck saw little-to-none reaction to President Trump’s federal budget proposal for the fiscal year 2019, including a boost in infrastructure and domestic spending. The proposal, however, has already been in centre stage as it could increase the deficit in the next years and remains surrounded by a considerable scepticism among both Republicans and Democrats.
Looking ahead, US inflation figures tracked by the CPI and retail sales for the month of January will be the salient events this week, both due tomorrow.
EUR/USD levels to watch
At the moment, the pair is up 0.44% at 1.2346 and a breakout of 1.2351 (10-day sma) would target 1.2434 (high Feb.6) en route to 1.2524 (high Feb.1). On the flip side, the immediate support emerges at 1.2206 (low Feb.9) seconded by 1.2167 (50% Fibo of the 2014-2017 drop) and finally 1.2165 (low Jan.18).
Trading foreign exchange on margin carries high potential rewards but also high potential risks that may not be suitable for all investors. Before deciding to trade foreign exchange, you should carefully consider your investment objectives, level of experience and risk appetite. Past performance is not indicative of future results, which can vary due to market volatility. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading and seek advice from an independent financial advisor if you have any doubts.
Any opinions, news, research, analyses, prices or other information contained on this website or linked to from this website are provided as general market commentary and do not constitute investment advice. AUSFOREX does not accept liability for any loss or damage, including any loss or profit, which may arise directly or indirectly from use of or reliance on such information.