EUR/USD testing highs near 1.1930, PMIs on sight
- Spot regained 1.19 and above on Thursday.
- USD sold off to 92.73 yesterday.
- Final November PMIs in Euroland next on tap.
The buying interest returned to the single currency in the second half of the week, pushing EUR/USD well above the 1.1900 handle and trading at shouting distance from Monday’s tops in the 1.1960 area.
EUR/USD stays bid above 1.1900
The buying stance remains well and sound around the shared currency today, gathering extra traction and rebounding moderately since yesterday’s lows in the vicinity of 1.1810.
Month-end flows plus uncertainty in the US political scenario has been weighing on the buck in past sessions, bolstering in turn the strong up move in spot and prompting investors to quickly leave behind lower-than-expected inflation figures in the euro area.
Ahead in the session, final prints of November manufacturing PMIs in Euroland are due although unlikely to attract any attention. In the US docket, the ISM manufacturing will be the salient release along with speeches by FOMC’s R.Kaplan, P.Harker, J.Bullard and Chief J.Yellen.
EUR/USD levels to watch
At the moment, the pair is gaining 0.13% at 1.1919 and a breakout of 1.1961 (high Nov.27) would target 1.2033 (high Sep.20) en route to 1.2069 (high Aug.29). On the other hand, the immediate support aligns at 1.1848 (10-day sma) followed by 1.1810 (low Nov.30) and finally 1.1762 (21-day sma).