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EUR/USD extends advance above 1.2800; 1.3000 on sight?

The Euro is trading higher on Monday versus the US Dollar and after rising around 80 pips from 1.2730 priced overnight, he EUR/USD is now moving above the 1.2800 level at 1.2810.

Currently, EUR/USD is trading at 1.2808, up 0.38% on the day, having posted a daily high at 1.2812 and low at 1.2731. The FXStreet OB/OS Index is reflecting overbought hourly conditions, while the FXStreet Trend Index is slightly bullish.

EUR/USD sentiment

According to Kathy Lien, the "euro is in play this week with the ECB's covered bond buying program beginning this morning, the PMI reports scheduled for release on Thursday and the stress tests results due on October 26."

Lien considers that "given the recent deterioration in Eurozone data, we expect the PMI reports to show a further slowdown in economic activity," so one of this week's top 3 FX trading opportunities is "sell Euro up to 1.30."

In the short term, EUR/USD will face resistances at 1.2815, 1.2835 and 1.2745. To the downside, supports are at 1.2730, 1.2705 and 1.2635.

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