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19 Feb 2014
EUR/USD trades back below 1.3750
FXStreet (San Francisco) - The EUR/USD is trading down right now after Fed's Bullard said in an interview with WSJ that the US economy is facing its best prospects since the financial crisis started and it allows the Fed to steadily reduce its monthly bond purchases.
After peaking to 1.3765 in the last hour, the EUR/USD wasn't unable to hold these prices and, following Bullard remarks, the euro declined to trade again at sub-1.3750 levels. The pair is now pricing at 1.3747, 0.07% negative on the day.
EUR/USD sentiment
The short term perspective is slightly bearish according to the FXStreet trend index in the 15-minute chart. CCI and Momentum are pointing to the south while the Stochastic and the MACD are neutral.
An EUR/USD breach of 1.3695 (low Feb.18) would target 1.3685 (low Feb.17) en route to 1.3674 (low Feb.14). On the upside, the next resistance lines up at 1.3773 (high Feb.19) followed by 1.3777 (2014 high Jan.2) and then 1.3796 (76.4% of 1.3894-1.3477).
EUR/USD focus on the FOMC minutes
The FOMC minutes are due later although market participants seem to be quite sceptic so far. According to analysts at BBH, “We would not expect a strong market reaction. Yellen's testimony before Congress seemed to underscore that there is a relatively high bar to deviating from the continued measured tapering”.
After peaking to 1.3765 in the last hour, the EUR/USD wasn't unable to hold these prices and, following Bullard remarks, the euro declined to trade again at sub-1.3750 levels. The pair is now pricing at 1.3747, 0.07% negative on the day.
EUR/USD sentiment
The short term perspective is slightly bearish according to the FXStreet trend index in the 15-minute chart. CCI and Momentum are pointing to the south while the Stochastic and the MACD are neutral.
An EUR/USD breach of 1.3695 (low Feb.18) would target 1.3685 (low Feb.17) en route to 1.3674 (low Feb.14). On the upside, the next resistance lines up at 1.3773 (high Feb.19) followed by 1.3777 (2014 high Jan.2) and then 1.3796 (76.4% of 1.3894-1.3477).
EUR/USD focus on the FOMC minutes
The FOMC minutes are due later although market participants seem to be quite sceptic so far. According to analysts at BBH, “We would not expect a strong market reaction. Yellen's testimony before Congress seemed to underscore that there is a relatively high bar to deviating from the continued measured tapering”.