EUR/USD dips to session lows barely above 1.2900 on broad USD strength

FXstreet.com (Barcelona) - EUR/USD has been dragged lower last at 1.2911 on the back of broad USD strength, following massive bounce in USD/JPY, taking the pair back above the 102 round key mark. EUR/USD is still up +0.61% for the week, ahead of German Ifo later on in the day.

The pair peaked at 1.2958 by mid NY session after bouncing strongly from London session fresh 2-day lows at 1.2821 on the back of better than expected PMI figures coming out of Europe, adding to the extreme intraday volatility seen since late Wed following Fed Bernanke's comments on QE tapping.

Immediate support to the downside for EUR/USD lies at recent session lows/Tuesday's Asian session highs 1.2904, followed by Monday's London session highs at 1.2880, while to the upside, closest resistance shows at mentioned NY session and daily highs 1.2958, followed by Wednesday's weekly highs at 1.2998.