EUR/USD trades flat above 23.6% Fib

EUR/USD trades in the sideways manner above 1.0694 (23.6% of 1.13 – 1.0507 as the dollar sell-off and the rise in the EUR/JPY cross stalled in the North American trade.

Eyes German industrial production data

German industrial production is seen rebounding 0.8% m/m in October following September’s -1.8% reading.

EUR traders would also keep an eye on the German and Italian bond yields and news flow related to the Italian banking sector. The US data docket is thin, hence the focus would shift to the European Central Bank (ECB) rate decision due tomorrow.

EUR/USD Technical Levels

The spot was last seen trading around 1.0720. A break above 1.0746 (Nov 17 high) would open doors for 1.0810 (38.2% of 1.13-1.0507) and 1.0851 (Oct 25 low). On the lower side, breach of support at 1.0694 (23.6% of 1.13-1.0507) could yield a sell-off to 1.0569 (Nov 18 low), under which the losses could be extended to 1.05 (zero figure).