The Euro benefitted from the broad-based US Dollar weakness, lifting to a NY close at 1.0755, a modest gain of 0.1%. EUR/USD had a highly volatile session trading to an overnight high at 1.08881 and low at 1.07218. In early Asia, the Euro lifted to its current 1.0815 as the Greenback fell further against all of it’s rivals.
Euro area PMI reports saw Manufacturing PMI’s beat expectations, but the Services sector all underperformed. EUR/USD had a subdued finish although the weaker US Dollar will keep the shared currency buoyed. Meantime, the latest COT report for the week ended March 17 saw a huge reduction of net speculative Euro short bets from -EUR 12,667 in the previous week swing to a long +EUR 32,495 contracts, its first in 18 months.
EUR/USD has immediate resistance at 1.0900 followed by 1.0950 and 1.1000. Immediate support lies at 1.0750 (NY close) and 1.0700. Look for another volatile trading day with a likely range of 1.0730-1.0930. Just trade the range shag on this one.
