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14 Jan 2015
EUR/USD shows relief at 1.1760
FXStreet (Edinburgh) - After dropping to more than 9-year lows near 1.1720, EUR/USD seems to have found some buying orders and is now back to the 1.1760 area.
EUR/USD hurt by QE prospects
Despite the initial muted reaction to the favourable decision of the European Court of Justice on the ECB’s OMT programme, the offered tone around the EUR intensified after ECB officials suggested that the programme is ‘ready and available’. In the same tone, President Draghi stressed that the central bank is committed to inflation target, leaving the door open for the implementation of quantitative easing. In the data space, consumer prices in Italy came in flat on a yearly basis in December, down from November’s 0.2% gain. Further data showed EMU’s Industrial Production surprised markets to the upside, expanding 0.2% inter-month in November. More news from Italy highlights that G.Napolitano resigned as president.
EUR/USD key levels
The pair is now retreating 0.12% at 1.1756 and a breakdown of 1.1700 (psychological level) would expose 1.1640 (low Nov. 2005) and finally 1.1376 (low Nov.2003). On the other hand, the next resistance remains at 1.1862 (200-h MA) followed by 1.1871 (high Jan.12) and then 1.1897 (high Jan.7).
EUR/USD hurt by QE prospects
Despite the initial muted reaction to the favourable decision of the European Court of Justice on the ECB’s OMT programme, the offered tone around the EUR intensified after ECB officials suggested that the programme is ‘ready and available’. In the same tone, President Draghi stressed that the central bank is committed to inflation target, leaving the door open for the implementation of quantitative easing. In the data space, consumer prices in Italy came in flat on a yearly basis in December, down from November’s 0.2% gain. Further data showed EMU’s Industrial Production surprised markets to the upside, expanding 0.2% inter-month in November. More news from Italy highlights that G.Napolitano resigned as president.
EUR/USD key levels
The pair is now retreating 0.12% at 1.1756 and a breakdown of 1.1700 (psychological level) would expose 1.1640 (low Nov. 2005) and finally 1.1376 (low Nov.2003). On the other hand, the next resistance remains at 1.1862 (200-h MA) followed by 1.1871 (high Jan.12) and then 1.1897 (high Jan.7).