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20 Mar 2013
Forex: EUR/USD finds resistance at 1.2970 ahead of EMU confidence
FXstreet.com (Barcelona) - The EUR/USD keeps on moving higher today, as investors switch off their concerns regarding Cyprus and focus on the FOMC monetary policy decision that is taking place at 18:00 GMT. From 1.2857 low, the market has been climbing the chart and kept rising after the German bund auction and EMU current account data. As of writing, the EUR/USD is facing resistance around 1.2970 ahead of the preliminary release of EMU March consumer confidence, expected to improve from -23.6 to -23.3.
EMU current account surplus eased from €16.0B to €14.8B in January, higher than €7.9B consensus. Germany sold 10-year bonds at today’s auction and saw its average yield falling 1.66% to 1.36%.
“EUR/USD has thus far successfully tested the support at 1.2877 (07/12/2012 low, see also 200 day moving average) on a daily close basis”, wrote MIG Bank analyst Bijoy Kar. “However, the succession of lower highs and lower lows is still in place. Monitor the resistance at 1.2996 (18/03/2013 high)”, he added, pointing to another resistance at 1.3046 (intraday low).
EMU current account surplus eased from €16.0B to €14.8B in January, higher than €7.9B consensus. Germany sold 10-year bonds at today’s auction and saw its average yield falling 1.66% to 1.36%.
“EUR/USD has thus far successfully tested the support at 1.2877 (07/12/2012 low, see also 200 day moving average) on a daily close basis”, wrote MIG Bank analyst Bijoy Kar. “However, the succession of lower highs and lower lows is still in place. Monitor the resistance at 1.2996 (18/03/2013 high)”, he added, pointing to another resistance at 1.3046 (intraday low).