EUR/USD turns positive near 1.0560 on mixed IFO

EUR/USD attempted a bull run to the 1.0550/60 band following mixed results from the German IFO on Thursday, posting meagre gains at the same time.

EUR/USD bid after data, USD gives away gains

The pair turned positive for the day following mixed results from the German IFO Survey for the month of November, with only Current Assessment surpassing initial estimates while both Business Climate and Expectations have missed forecasts.

Despite the current bullish attempt, the pair’s outlook remains entrenched in the bearish zone after a brief test of fresh 20-month lows near 1.0520 in early trade, which opened the door for a potential test of 2015 lows in the mid-1.0400s seen in mid-March.

In the meantime, the greenback is clinging to its daily gains after the FOMC left no room for surprises yesterday, emphasizing the labour market solid conditions and paving the way for further tightening of the monetary policy via higher rates.

EUR/USD levels to watch

The pair is now up 0.12% at 1.0566 facing the next resistance at 1.0660 (high Nov.22) followed by 1.0763 (high Nov.16) and finally 1.0826 (high Nov.14). On the other hand, a breach of 1.0519 (low Apr.13 2015) would open the door for 1.0457 (2015 low Mar.16) and then 1.0332 (monthly low January 2003).

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