EUR/USD snaps six-day losing streak as T-yields retreat

A pullback in the treasury yields is weighing over the US dollar in Asia, helping the EUR/USD pair snap the six-day losing streak.

Recovers from the 11-month low

The spot dropped to 1.0709 on Monday; the lowest level since Dec 3, 2015 before recovering to 1.0771 levels in the Asian session today. The corrective move has been aided by the moderate retreat in the Treasury yields.

The 10-yr treasury yield and the 30-yr Treasury yield dropped 1.5 basis points to 2 basis points. However, at the short-end of the curve, the yields have avoided losses, which could be due to the strong likelihood of the Fed rate hike in December.

The focus today would be on the German GDP and Eurozone GDP and Fed speak.

EUR/USD Technical Levels

The spot was last seen trading around 1.0760. A break above 1.0777 (76.4% of 1.0517-1.1616) would expose key resistance at 1.08 (zero figure) and 1.0834 (5-DMA) levels. On the lower side, breach of support at 1.0736 (session low) would open doors for 1.07 (zero figure) under which the losses could be extended to 1.06 (zero figure) handle.