EUR/USD Challenging Bears' Determination At Around The 1.2200 Figure

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EUR/USD Current Price: 1.2194

• EU Sentix Investor Confidence improved to 28.1 in June from 21 previously.
• US Treasury Secretary Janet Yellen´s comments on inflation temporarily boosted the greenback.
• EUR/USD challenging bears’ determination at around the 1.2200 figure.

The greenback edged lower on Monday, with EUR/USD hitting a daily high of 1.2201, and settling nearby. The pair fell ahead of Wall Street’s comments amid comments from US Treasury Secretary Janet Yellen, who said on Sunday that higher interest rates would be a “plus,” although he quickly clarified that she does not expect higher spending levels would create an inflation overrun. The dollar fell after Wall Street’s opening, as there were no signs of mounting concerns among US traders. Stocks posted modest gains, while government bond yields remained subdued.

The calendar had little to offer. The EU published June Sentix Investor Confidence, which improved by more than anticipated, hitting 28.1 from 21 in the previous month. The US  published April Consumer Credit Change,  which resulted at $ 18.61 billion, down from $25.84 billion previously.

On Tuesday, the focus will be on the German ZEW Survey on Economic Sentiment for June. The country will also publish April Industrial Production, while the EU will release the final reading of Q1 Gross Domestic Product, foreseen unchanged at -0.6%. The US will publish the April Goods Trade Balance.

EUR/USD Short-Term Technical Outlook

The EUR/USD pair is offering a neutral-to-bullish stance in the near-term. The 4-hour chart shows that technical indicators have entered positive levels, with the Momentum still heading north and the RSI stable at around 57. The pair has advanced above all of its moving averages, which anyway lack enough directional strength to suggest a certain direction. Bulls could have better chances on a clear break of the 1.2200 threshold.

Support levels: 1.2120 1.2070  12025

Resistance levels: 1.2200 1.2245 1.2280  

View Live Chart for the EUR/USD

Image Sourced from Pixabay

The preceding post was written and/or published as a collaboration between Benzinga’s in-house sponsored content team and a financial partner of Benzinga. Although the piece is not and should not be construed as editorial content, the sponsored content team works to ensure that any and all information contained within is true and accurate to the best of their knowledge and research. This content is for informational purposes only and not intended to be investing advice.