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16 Mar 2015
EUR/USD inches higher ahead of Draghi speech
FXStreet (Mumbai) - The shared currency strengthened, taking the EUR/USD pair to an intraday high of 1.0549 ahead of the European Central Bank (ECB) President Mario Draghi’s speech later today in Frankfurt. The pair has recovered from the low of 1.0461 seen on Friday.
EUR/USD: Gains capped at 5-DMA
The pair failed to sustain above the 5-DMA located at 1.0536, though the shared currency remains supported on the slight weakness seen in the US treasury yields. The 10-year yield in the US is down 1.7 basis points at 2.093%. However, the gains may not last long if the German benchmark yields drop to another record low today.
Given the thin data docket in the Eurozone, the markets are likely to focus on Draghi’s speech. The ECB is also set to announce QE purchases later today. A disappointing figure could help strengthen the Euro.
EUR/USD Technical Levels
The pair currently trades at 1.0533, up 0.35% for the day. The immediate resistance is seen at the 5-DMA located at 1.0536, above which gains could be extended to 1.0570 (hourly 50-MA). On the flip side, a break below 1.05 could see the pair re-test 1.0461 levels.
EUR/USD: Gains capped at 5-DMA
The pair failed to sustain above the 5-DMA located at 1.0536, though the shared currency remains supported on the slight weakness seen in the US treasury yields. The 10-year yield in the US is down 1.7 basis points at 2.093%. However, the gains may not last long if the German benchmark yields drop to another record low today.
Given the thin data docket in the Eurozone, the markets are likely to focus on Draghi’s speech. The ECB is also set to announce QE purchases later today. A disappointing figure could help strengthen the Euro.
EUR/USD Technical Levels
The pair currently trades at 1.0533, up 0.35% for the day. The immediate resistance is seen at the 5-DMA located at 1.0536, above which gains could be extended to 1.0570 (hourly 50-MA). On the flip side, a break below 1.05 could see the pair re-test 1.0461 levels.