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EUR/USD: Recent Lows Eyed Post-FOMC

EUR

EUR/USD prints ~120 pips below pre-FOMC levels at $1.1996, the move has slowed around the 200-DMA (located at $1.1997), with the pair only managing a very limited and short look below (low of $1.1995 registered). Asia's reaction to the hawkish (at least vs. broader expectations) FOMC meeting could be key for the pair in terms of direction over the short to medium term. A break below Wednesday's low would have bears targeting the nearby May 5 low ($1.1986), with any convincing breakdown through there potentially opening the way to the 61.8% retracement of the Mar 31 to May 25 rally ($1.1919).

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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