- The euro turns back above 1.1600 to approach the October high of 1.1670.
- The weakness of the US dollar allows a greater appreciation of the euro.
- EUR / USD: With recovery mood, heading to 1.1741 – Commerzbank.
The EUR continued to rise against a somewhat weaker US dollar on Wednesday, on track to complete a three-day rally. The pair EUR/USD It was confirmed above 1.1600 today to ease the negative pressure, before hitting resistance just below the October peak at 1.1670.
The euro takes advantage of a weaker US dollar
The common currency was boosted again by a weaker dollar on Wednesday, and the US dollar is losing ground on optimistic quarterly gains in healthcare. Better-than-expected earnings reported by Anthem and Abbott Laboratories have eased investor fears about rising inflation and supply chain disruptions.
Against this backdrop, the US Dollar Index has retreated further from the one-year high of 94.50 reached last week, hitting session lows in the 93.50 area, 1% below last week’s high. . The positive market sentiment has been reflected in moderate gains on Wall Street, with the S&P 500 index rebounding for the sixth day in a row to test year-to-date highs at 4,545. The Dow Jones Index is up 0.45%, while the Nasdaq has fallen into negative territory in the middle of the session to trade almost unchanged at the time of writing.
EUR / USD: seen appreciating beyond 1.1700 – Commerzbank
Karen Jones, FICC Technical Analysis Research Team Leader at Commerzbank, sees the pair in a recovery mood, targeting 1.1741: “The EUR/USD it is in short term recovery mode. Intraday Elliott wave counts remain positive and we would allow a deeper pullback to the four-month downtrend of 1.1741 “.
Technical levels
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