The third time wasn’t a charm, but rather a false break. However, the fourth attempt to break 1.30 is very successful: EUR/USD moved fast through this level and stopped at 1.3048 – just under the next resistance line.
Is EUR/USD becoming less choppy and more predictable after the break?
The next levels are the round 1.31 line, 1.3160 and 1.32. On the downside, 1.30 now turns to support. The old line of 1.2960 is bruised and battered. 1.2940 might be more serious. It is followed by 1.2880.
Update: US pending home sales disappoint and EUR/USD extends its gains.
The dollar storm in the markets was met with a relatively resilient euro. The yen and Aussie rocked a lot more, and the Canadian dollar and Swiss franc were not far behind. The fresh dollar weakness allows the euro to rise.
The move came on top of the mediocre US data: GDP was revised to the downside and jobless claims rose more than expected.
Another significant US release is coming soon and it will certainly rock the pair: see how to trade the pending home sales with EUR/USD.
— updates coming
