He EUR/USD The session began with a firm tone, reaching a daily maximum of 1.2183 at the end of the Asian session, which brought it closer to the nearly two-week high reached on Friday at 1.2189. However, since the European morning, the pair has suffered bearish attacks that have led it to lose more than 65 pips, sliding in the American session to a two-day low at 1.2116.
The decline in the euro is accompanied by a rise in the dollar on the forex board. The DXY index that measures the greenback has recovered in recent hours to 90.51, a new maximum since January 20.
Market sentiment turned negative with Germany’s poor IFO figures for business climate, current valuation and expectations, all with lower than expected results in January. In addition, the third wave of coronavirus continues to sweep both sides of the Atlantic, weighing on risk appetite. Medium (h2)
The european bags point to close at a loss. The German DAX and the French CAC 40 are down 1.10% at the moment, while the Eurostoxx 50 is down 0.81%. In the United States, the Dow Jones lost 0.29%, while the S&P 500 gained 0.40%. On the other hand, US 10-year bond yields have plummeted in the last hours, going from 1.10% in the early hours of Monday to 1.04% today.
EUR / USD levels
The euro is trading against the dollar over 1.2131 at time of writing, losing 0.30% daily. In case of continuing falling, the first important support appears in the zone 1.2100. Further down, the target is 1.2076, the bottom of January 20.
To the upside, the cross needs to regain the highs of the day around 1.2180 / 85 in order to gain momentum targeting resistance at 1.2200. Higher awaits 1.2222, the ceiling of January 13.
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