EUR/USD (current price: 1.1334)
The most traded currency pair broke above several important support/resistance levels recently, and it is now trading near the 1.1350 level after another highly bullish session yesterday. The Philly Fed Manufacturing Index came in at 2.0, compared to the consensus estimate of 1.4, and the weekly Unemployment Claims number also posted a positive surprise with a reading of 262,000. The Eurozone Trade Balance also continued to outperform expectations as the relatively weak currency still helped trade conditions in July.
Our assessment: EUR/USD is now above 1.1285 and the pair might be headed for a re-test of the 1.1450 level in the coming days.
