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Euro eyes $1.10
EUR/USD is pushing higher as the squeeze on the single currency persists. The euro has been in an upward trend versus the dollar since last week as the Federal Reserve’s dovish language triggered an exodus from the greenback. This morning’s trading session saw the release of the service and manufacturing PMI reports for the eurozone, which pushed higher in the month of March, adding to the short-term bull run that the currency pair has been experiencing. The euro’s performance in the past few trading sessions has been particularly impressive when you consider the wider selloff in the dollar.
The $1.09 level is providing support and if it is held then the resistance at $1.10 will be the target. If that metric is cleared the acid test will be the 50-day moving average $1.1123 – EUR/USD has not traded above the 50-DMA in over three months. A drop below $1.09 will bring the $1.0840/50 region into play and below that traders will look to $1.08.