EUR/USD challenging lows around 1.3280

FXstreet.com (Edinburgh) -A bout of selling pressure is now dragging the EUR/USD to another test of Monday’s lows in the band of 1.3290/80, ahead of the German ZEW Survey.

EUR/USD focus on ZEW

Next on tap in the euro docket will be the German/EMU ZEW Survey, with market expectations pointing to an improvement in the Economic Sentiment component, which would be supportive of the EUR. Karen Jones, Head of FICC Technical Analysis at Commerzbank, commented, “Now that the 1.3362 accelerated uptrend line has been slipped through, the 1.3208/1.3188 support zone is being eyed… Only a drop through this support zone will alleviate immediate upside pressure, though. Failure here will target the 1.3000 region”.

EUR/USD levels to watch

At the moment the pair is up 0.06% at 1.3308 with the next resistance at 1.3391 (high Aug.9) followed by 1.3401 (high Aug.8) and then 1.3417 (high Jun.19). On the flip side, a breakdown of 1.3266 (low Aug.7) would expose 1.3246 (low Aug.6) and finally 1.3233 (low Aug.5).