EUR/USD consolidative around 1.1800

The single currency keeps the upbeat note at the beginning of the week, prompting EUR/USD to extend the current sideline theme around 1.1800 the figure.

EUR/USD found support around 1.1730

The pair found dip buyers around Friday’s lows in the 1.1730/25 band for the time being, managing at the same time to regain the key 1.1800 handle amidst some profit taking around the buck.

However, volatility stays scarce in the global markets today, as market participants seem to be still digesting the recent strong US payrolls figures and their implications (or not) on the prospects of further tightening by the Federal Reserve at some point towards year-end.

On the other hand, EUR futures markets allow the possibility of a correction lower in the near term, while the speculative community have scaled back its EUR net longs to the lowest level in the last four weeks in the week to August 1 according to the latest CFTC report.

Nothing scheduled data wise in Euroland today, while the Fed’s labor market conditions index and speeches by FOMC’s dovish governors J.Bullard (St. Louis Fed, 2019 voter) and N.Kashkari (Minneapolis Fed, voter) are due across the pond.

EUR/USD levels to watch

At the moment, the pair is advancing 0.22% at 1.1797 facing the next hurdle at 1.1893 (high Aug.4) seconded by 1.1909 (2017 high Aug.2) and finally 1.2040 (2012 low Jul.24). On the other hand, a breakdown of 1.1727 (low Aug.4) would target 1.1638 (21-day sma) en route to 1.1611 (low Jul.26).