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25 Mar 2013
Forex: EUR/USD around 1.3035/40 on Cyprus
FXstreet.com (Barcelona) - The single currency is back above the key mark of 1.3000 on Monday, after the ‘Troika’ and the Government clinched a last-minute deal on Sunday night.
However the initial positive reaction of the euro, climbing to the boundaries of 1.3050, a lot is still to be done in the country and in the global markets to restore investors’ confidence.
Tomorrow will be key, as the banks will re-open after the long bank holiday. Although the negative effects would now be tempered as the ECB will continue to pump liquidity into the Cypriot banking sector due to the agreement.
At the moment the cross is up 0.54% at 1.3032 with the next resistance at 1.3107 (high Mar.15) and then 1.3123 (MA30d).
On the flip side, a breach of 1.2888 (low Mar.22) would open the door to 1.2879 (MA200) and then 1.2857 (low Mar.20).
However the initial positive reaction of the euro, climbing to the boundaries of 1.3050, a lot is still to be done in the country and in the global markets to restore investors’ confidence.
Tomorrow will be key, as the banks will re-open after the long bank holiday. Although the negative effects would now be tempered as the ECB will continue to pump liquidity into the Cypriot banking sector due to the agreement.
At the moment the cross is up 0.54% at 1.3032 with the next resistance at 1.3107 (high Mar.15) and then 1.3123 (MA30d).
On the flip side, a breach of 1.2888 (low Mar.22) would open the door to 1.2879 (MA200) and then 1.2857 (low Mar.20).