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13 Aug 2013
EUR/USD collapses below support, USD correcting?
FXstreet.com (New York) - The EUR/USD foreign exchange rate took a nasty spill during US trading, driven by the strengthening of the USD across the board Tuesday and the release of mixed US data.
In the United States, Retail Sales (MoM) were reported at only +0.2% in July, missing expectations of +0.3% and down from +0.6% previously. However, Retail Sales ex Autos (MoM) came in at +0.5%, beating estimates of only +0.4%.
EUR/USD strategic bias
According to Karen Jones, an analyst at Commerzbank, “The EUR/USD is coming off its current August high at 1.3401 which was made last week close to the 200-week MA. Now that the 1.3362 accelerated uptrend line has been slipped through, the 1.3208/1.3188 support zone is being eyed. It is where the July 11 high and the current August low were made. Only a drop through this support zone will alleviate immediate upside pressure, though. Failure here will target the 1.3000 region. Loss of this zone is needed to re-target the 1.2755/40 July and April lows.”
EUR/USD technical levels
The EUR/USD is has now pulled back to the 1.3258 level in these moments, incurring a loss of -0.28% off its opening during US trading. Technically speaking, the EUR/USD broke below support at 1.3278, hitting a low of 1.3251. Presently the pair remains fortified by additional means at 1.3260 and 1.3246.
In the United States, Retail Sales (MoM) were reported at only +0.2% in July, missing expectations of +0.3% and down from +0.6% previously. However, Retail Sales ex Autos (MoM) came in at +0.5%, beating estimates of only +0.4%.
EUR/USD strategic bias
According to Karen Jones, an analyst at Commerzbank, “The EUR/USD is coming off its current August high at 1.3401 which was made last week close to the 200-week MA. Now that the 1.3362 accelerated uptrend line has been slipped through, the 1.3208/1.3188 support zone is being eyed. It is where the July 11 high and the current August low were made. Only a drop through this support zone will alleviate immediate upside pressure, though. Failure here will target the 1.3000 region. Loss of this zone is needed to re-target the 1.2755/40 July and April lows.”
EUR/USD technical levels
The EUR/USD is has now pulled back to the 1.3258 level in these moments, incurring a loss of -0.28% off its opening during US trading. Technically speaking, the EUR/USD broke below support at 1.3278, hitting a low of 1.3251. Presently the pair remains fortified by additional means at 1.3260 and 1.3246.