EUR/USD trades to a high of 1.1638 on the day
The pair made a move above yesterday's high for a brief moment, and touched a high of 1.1638. For buyers, it's all about moving towards a test of the week's high @ 1.1645 and the 200-hour MA (blue line) @ 1.1646.
A break there will open up further move to the upside and more importantly shift near-term sentiment to side with buyers. The key risk ahead of European trading will lie in the June PMI readings and whether or not they will indicate further softness in Eurozone growth.
But the real trade here for me is one that looks very much like a dollar story. The dollar index failed to hold a daily close above the October high @ 95.15 yesterday, and GBP/USD and EUR/USD are looking towards breaking the 200-hour MAs where near-term sentiment will turn bullish instead.
A breakdown across multiple charts is never a good sign, and this will be something to watch during trading today.
