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30 Sep 2013
EUR/USD retakes 1.3500
FXstreet.com (Edinburgh) -After the earlier drop to lows below 1.3480, the EUR/USD managed to gather steam and recover the key 1.3500 handle on Monday.
EUR/USD eyes on Washington
There is no progress on the US fiscal front so far, with tomorrow’s shutdown deadline weighing on investors’ sentiment and dragging both US stock futures and the greenback to lower levels. Data-wise in the 17-nation bloc, advanced consumer prices for the month of September are due next, with consensus expecting an annual increase of 1.2% of the headline CPI and 1.1% of the Core reading. “While the US government shutdown is key, the impending collapse of the Italian government is curtailing euro buying versus the dollar… Any EUR/USD buying on a US government shutdown is unlikely to be sustained”.
EUR/USD levels to watch
The pair is now losing 0.12% at 1.3506 and a break below 1.3467 (low Sep.20) would aim for 1.3462 (low Sep.25) and finally 1.3459 (23.6% of 1.3104-.13569). On the upside, the initial barrier lies at 1.3565 (high Sep.27) ahead of 1.3569 (high Sep.19) and then 1.3598 (high Feb.5).
EUR/USD eyes on Washington
There is no progress on the US fiscal front so far, with tomorrow’s shutdown deadline weighing on investors’ sentiment and dragging both US stock futures and the greenback to lower levels. Data-wise in the 17-nation bloc, advanced consumer prices for the month of September are due next, with consensus expecting an annual increase of 1.2% of the headline CPI and 1.1% of the Core reading. “While the US government shutdown is key, the impending collapse of the Italian government is curtailing euro buying versus the dollar… Any EUR/USD buying on a US government shutdown is unlikely to be sustained”.
EUR/USD levels to watch
The pair is now losing 0.12% at 1.3506 and a break below 1.3467 (low Sep.20) would aim for 1.3462 (low Sep.25) and finally 1.3459 (23.6% of 1.3104-.13569). On the upside, the initial barrier lies at 1.3565 (high Sep.27) ahead of 1.3569 (high Sep.19) and then 1.3598 (high Feb.5).