Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

eur-dollar1The euro took a sudden turn on Friday, erasing early gains against the US dollar and tumbled to two-and-a-half-week lows, as demand for the greenback remained strong.

EUR/USD pair plunged to a session low at 1.3136 at 14:42 GMT. The pair was down by 0.65% for the day. Support was expected at June 6th low, 1.3075, while resistance was to be met at current session high, 1.3254.

Earlier today the European Central Bank announced that seasonally adjusted Current account surplus in the Euro zone shrank to 19.5 billion EUR during April, from a 25.9-billion EUR during the previous period, above expectations that the surplus will narrow more, to 15.1 billion EUR.

Additional selling impulse for the euro was submitted from Greece, as Greek Minister of the Interior, Antonis Manitakis resigned earlier on Friday.

Meanwhile, the greenback remained predominantly strong against its major peers. Fed Chairman Ben Bernanke said on Wednesday that the central bank could begin slowing bond purchases by the end of 2013 and wind them down completely by the middle of 2014, a statement that continued weighing on market sentiment during the recent trading days. The dollar index, which tracks the performance of the US dollar against a basket of six other major currencies, rose to 82.52 at 14:33 GMT on Friday, after it was on levels around 81.82 during the US trade on Thursday.

At the same time, the euro went higher against the British pound, as EUR/GBP pair added 0.15% to 0.8536.

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News