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7 Oct 2013
EUR/USD edging higher around 1.3570
FXstreet.com (Edinburgh) -The single currency is partially retracing Friday s sharp pullback, lifting the EUR/USD to the area of 1.3570/75 ahead of the Sentix index.
EUR/USD eyes on shutdown, data
The investor confidence sponsored by the Sentix index will be the only release in the euro area today. Prior surveys expect the index to extend the recent improvements, climbing to 10.6 for the month of October, up from 6.5 in the previous month. Across the pond, uncertainties remain regarding the duration of the current federal shutdown, as no progress has been made over the weekend. Strategists S.Osborne and G.Moore at TD Securities commented, “We still rather think EUR/USD is stuck in a big, broad range—and closer to the top of the range (1.37) than the lower end (1.27). The soft weekly close is a threat to the EUR rally. The weekly candle signal is a weak-form “shooting star” signal at best but, combined with overbought stochastic signals which have also failed to confirm the latest rally and are exiting the overbought zone to the downside, price signals suggest bearish pressure may be building on EUR/USD”.
EUR/USD key levels
The pair is now advancing 0.10% at 1.3571 with the initial hurdle at 1.3632 (high Oct.4) followed by 1.3646 (high Oct.3) and then 1.3660 (high Feb.4). On the flip side, a violation of 1.3526 (MA10d) would open the door to 1.3505 (low Oct.2) and finally 1.3500 (psychological level).
EUR/USD eyes on shutdown, data
The investor confidence sponsored by the Sentix index will be the only release in the euro area today. Prior surveys expect the index to extend the recent improvements, climbing to 10.6 for the month of October, up from 6.5 in the previous month. Across the pond, uncertainties remain regarding the duration of the current federal shutdown, as no progress has been made over the weekend. Strategists S.Osborne and G.Moore at TD Securities commented, “We still rather think EUR/USD is stuck in a big, broad range—and closer to the top of the range (1.37) than the lower end (1.27). The soft weekly close is a threat to the EUR rally. The weekly candle signal is a weak-form “shooting star” signal at best but, combined with overbought stochastic signals which have also failed to confirm the latest rally and are exiting the overbought zone to the downside, price signals suggest bearish pressure may be building on EUR/USD”.
EUR/USD key levels
The pair is now advancing 0.10% at 1.3571 with the initial hurdle at 1.3632 (high Oct.4) followed by 1.3646 (high Oct.3) and then 1.3660 (high Feb.4). On the flip side, a violation of 1.3526 (MA10d) would open the door to 1.3505 (low Oct.2) and finally 1.3500 (psychological level).