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16 Apr 2014
EUR/USD stubborn above 1.3800
FXStreet (Edinburgh) - The shared currency is marginally advancing vs. the greenback at the end of the US session on Wednesday, with the EUR/USD hovering over 1.3825/20 at the moment.
EUR/USD apathetic above 1.3800
Spot would most likely remain within the weekly range in the upcoming sessions, as thin trade and scarce volatility are set to prevail in Maundy Thursday and Good Friday. Despite the increasing disinflationary pressures in the euro bloc, the pair kept the composure while EUR traders are already looking to the advance release of April’s CPI, due on Wednesday 30th. “The ECB has given greater prominence to the role of the EUR in its quest for price stability, but the exchange rate still feels like an after-thought that will not be a trigger for action. Draghi should take a leaf from the Riksbank’s book and make it clearer that if the EUR is stronger than expected, then it would quickly become necessary to provide an offsetting easing of monetary policy to ensure inflation projections remain on track”, assessed David Bloom, Global Head of FX Research at HSBC Bank.
EUR/USD key levels
At the moment the pair is up 0.05% at 1.3822 with the next resistance at 1.3863 (high Apr.14) and then 1.3906 (high Apr.11). On the downside, a break below 1.3807 (low Apr.16) would open the door to 1.3790 (low Apr.15and finally 1.3780 (low Apr.9).
EUR/USD apathetic above 1.3800
Spot would most likely remain within the weekly range in the upcoming sessions, as thin trade and scarce volatility are set to prevail in Maundy Thursday and Good Friday. Despite the increasing disinflationary pressures in the euro bloc, the pair kept the composure while EUR traders are already looking to the advance release of April’s CPI, due on Wednesday 30th. “The ECB has given greater prominence to the role of the EUR in its quest for price stability, but the exchange rate still feels like an after-thought that will not be a trigger for action. Draghi should take a leaf from the Riksbank’s book and make it clearer that if the EUR is stronger than expected, then it would quickly become necessary to provide an offsetting easing of monetary policy to ensure inflation projections remain on track”, assessed David Bloom, Global Head of FX Research at HSBC Bank.
EUR/USD key levels
At the moment the pair is up 0.05% at 1.3822 with the next resistance at 1.3863 (high Apr.14) and then 1.3906 (high Apr.11). On the downside, a break below 1.3807 (low Apr.16) would open the door to 1.3790 (low Apr.15and finally 1.3780 (low Apr.9).