EUR/USD around 1.06 post-US data

The European currency remained unchanged after today’s US data releases, with EUR/USD keeping the trade around the 1.0600 handle.

EUR/USD supported near 1.510

The pair is consolidating the rebound from yesterday’s fresh 2016 lows at 1.0515, backed by a continuation of the selling pressure around the buck.

In fact, the US Dollar Index is prolonging its leg lower to the mid-101.00s, or 2-day lows, after advanced Trade Balance figures showed the trade deficit is seen widening to $62 billion in October, missing expectations.

Further data saw preliminary Wholesale Inventories expected to contract 0.4% during last month, bettering forecasts for a 0.3% gain.

Spot remains under pressure despite the ongoing squeeze higher, with a break above the key resistance band at 1.0650/60 still remaining elusive. Further consolidation, however, could start signalling that a low is in place.

EUR/USD levels to watch

The pair is now up 0.45% at 1.0601 facing the initial resistance at 1.0660 (high Nov.22) followed by 1.0763 (high Nov.16) and finally 1.0826 (high Nov.14). On the flip side, a breakdown of 1.0515 (2016 low Nov.24) would open the door for 1.0457 (2015 low Mar.16) and then 1.0332 (monthly low January 2003).

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