The EURUSD pair was trading notably higher on Friday and the single currency was seen 0.50% stronger against the greenback, hovering around 1.1670 during the London session.
The euro was boosted after the Eurozone creditors agreed on debt restructuring with Greece, which might lead to the country being able to fully return to the bond markets, after years of being unable to borrow money at reasonable rates from investors.
Moreover, the services PMI for June improved in the Eurozone (unexpectedly) and rose from 53.8 to 55.0, while analysts had expected a marginal decline to 53.7. However, the manufacturing sector deteriorated further from 55.5 to 55.0.
The pair broke higher from the recent consolidation zone, printing a cyclical bottom at 1.1550, where the May’s lows are also seen. Therefore, a double bottom pattern could be emerging here. The first resistance for today’s trading is at 1.1730 and afterward at the pre-ECB levels around 1.1830.
On the downside, bulls need to defend 1.1645 to stay in the daily bullish outlook, while the next buying zone could be seen around 1.16. As there are not many major data on the agenda during the US session, current bullish bias could persist throughout the day. In all cases we strongly recommend to have rigorous money and risk management.
Disclaimer: The content of the Reports constitutes Marketing Communication and does not constitute Investment Advice or Investment Research or an offer for any transactions in financial instrument. The content of the Reports represents the view of our experts on a generic basis, and does not take into consideration individual readers personal circumstances, investment experience or current financial situation. In addition, the Reports have not been prepared in accordance with legal requirements designed to promote the independence of Investment Research, and are not subject to any prohibition on dealing ahead of the dissemination of Investment Research. Readers using the Reports should consider the possibility of encountering substantial losses. The past performance is not a guarantee of future results. Therefore, Goldenburg Group Limited shall not accept any responsibility for any losses of traders due to the use and the content of its Reports.