EUR/USD – Fib resistance holding up well in Asia

EUR/USD pair is now flat lined around 1.1170 following a failure in early Asia to hold above 1.1181 (38.2% of 1.1616-1.0911).

Rejected at 38.2% Fib of Dec low-May high

Broad based USD selling on Friday following downbeat US GDP figure pushed EUR/USD into wall of resistance at 1.1196 (38.2% of Dec low-May high). The pair failed to take out the same ended the day at 1.1167 levels. The resistance zone of 1.1180-1.1200 Is marked by many as a trend reversal point, since the spot failed to take out the same in July before retreating to a low of 1.0950.

European data docket has PMI numbers scheduled for release; however, the spot is likely to be influenced more by US PMI figures due later today.

EUR/USD Technical Levels

Acceptance above 1.1180-12 range would open doors for 1.1236 (38.2% of 1.0463-1.1714), above which 1.13 handle could be put to test. On the lower side, breach of 50-DMA of 1.1152 would expose 1.11 handle. A violation there could yield re-test of 200-DMA at 1.1074.