EUR/USD advances to 1.3710

FXStreet (Edinburgh) - The shared currency is looking to consolidate the recovery, lifting the EUR/USD beyond the 1.3700 handle as the US session is drawing to a close on Thursday.

EUR/USD softer, rebounds from 1.3680

The pair managed to bounce off session lows near 1.3680 in the wake of the mixed manufacturing/services PMI prints in the euro area, although the selling bias seems to prevail so far. Second-ties releases in the euro docket tomorrow – Italian CPI – would leave the main focus on the Economic Growth Forecasts released by the European Comission. “Near-term pressure is likely to still favour upside on the limited toolbox available to the ECB and capital flows; however we have made no change to our year-end forecast, expecting EUR to fall to 1.25”, observed Camilla Sutton, Chief FX Strategist at Scotiabank.

EUR/USD levels to watch

As of writing the pair is losing 0.13% at 1.3713 with the next support at 1.3685 (low Feb.17) ahead of 1.3679 (10-d MA) and then 1.3674 (low Feb.14). On the upside, the initial hurdle lines up at 1.3763 (high Fe.20) followed by 1.3773 (high Feb.19) and finally 1.3777 (high 2014 Jan.2).