EUR/USD has rebounded toward the top of its trading range, spurred by upbeat German data and hopes that reserve managers will double down on their diversification bets.
The 100-day moving average remains a significant roadblock for EUR/USD again today as it has over the last six weeks. We have displayed the ability to poke through the average for a day or so but we have yet to show staying power above that level. A sustained break of the 1.3423 area where the average is situated today is the key for a continued rally to the 1.37/1.38 area.
On dips, the market continues to derive support from the resistance line broken late last week, today at 1.3243.
