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Monday, November 9, 2015

EUR / USD Up As Equities Decline

EUR / USD hit a fresh session of 1.0774 and heading up because of major European equity futures pointing to a weak trading day ahead.

Focus on equity

Spot is likely to remain focused on the action in the stock market, given the absence of major data mover market. NFP release on Friday underlines the growing divergence between the Fed and the ECB. However, the EUR can benefit in terms of capital markets reacted negatively to the increase bets the Fed interest rate hikes.

At this time, bid three futures in Europe - DAX, FTSE and CAC - traded in decline, while the EUR / USD is trading around the 1.0771 level.

Level Technical EUR / USD

Immediate resistance lies at 1.0808 (July 20 low), rise above it can be extended to 1.0848 (lowest August 5). On the downside, a break below 1.0758 (76.4% of the rally Mar-August) will open the door to retest Friday's lows at 1.0705.

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