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18 Mar 2013
Forex: EUR/USD back at 1.2950/55
FXstreet.com (Barcelona) - After another failed attempt to reach 1.2980, the bloc currency faltered and retreated to the current comfort zone around the mid 1.29s.
Robert Rennie, FX Strategist at Westpac, argued that there would be consequences across Europe stemming from this weekend developments in Cyprus, most likely jitters in financial markets. “The EUR is likely to continue its slide in our view. Indeed, the consequences could be deeper… At the end of the day, we all know (hope?) that the ECB will be there to do ‘whatever it takes’. But at what price? That price could now be much higher than we all thought with depositors paying that price”, the expert signalled.
At the moment, the cross is losing 0.91% at 1.2955 and a breach of 1.2882 (low Mar.180 would open the door o 1.2878 (low Dec.7) and then 1.2872 (MA200d).
On the flip side, resistance levels line up at 1.3094 (MA21d) ahead of 1.3129 (MA100d) and then 1.3135 (high Mar.8).
Robert Rennie, FX Strategist at Westpac, argued that there would be consequences across Europe stemming from this weekend developments in Cyprus, most likely jitters in financial markets. “The EUR is likely to continue its slide in our view. Indeed, the consequences could be deeper… At the end of the day, we all know (hope?) that the ECB will be there to do ‘whatever it takes’. But at what price? That price could now be much higher than we all thought with depositors paying that price”, the expert signalled.
At the moment, the cross is losing 0.91% at 1.2955 and a breach of 1.2882 (low Mar.180 would open the door o 1.2878 (low Dec.7) and then 1.2872 (MA200d).
On the flip side, resistance levels line up at 1.3094 (MA21d) ahead of 1.3129 (MA100d) and then 1.3135 (high Mar.8).