EUR/USD losing ground as Stoxx 50 futures rise

EUR/USD extended losses to 1.1365 levels as pan-European equity futures – Stoxx 50 index rose 0.65% following Tuesday’s meltdown.

1.14 is a tough nut to crack

The spot has failed to hold gains above 1.14 handle for last four trading session, making it a tough resistance to cut through. An attempt to take out 1.114 appeared likely, although it ran out of steam around 1.1387 levels on signs of stability in the risk sentiment.

Stoxx 50 index opened on a positive note as upbeat China services PMI data and uptick in oil helped calmed market nerves. This is keeping the carry currency EUR under pressure. Furthermore, German industrial production suffered another drop in Feb, which only adds to bearish pressure around EUR.

EUR/USD Technical Levels

The immediate hurdle is noted at 1.14, followed by a resistance at 1.1460 (Sep 18 high). A violation there would expose 1.15 handle. On the other hand, a break below 1.1342 (Mar 17 high) could see the pair drift lower to 1.13. Next major support is seen at 1.1257 (61.8% of 1.0517-1.1714).