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USD Weakness and Cross-Buying Favours EUR/USD Gains

EUR
  • EUR/USD strength building in recent trade as the USD's post-claims weakness persists and cross-buying via EUR/GBP also favours the single currency. Pair is now comfortably clear of yesterday's highs, and is mean-reverting to the 50-dma of 1.0790 (200-dma is just above at 1.0794).
  • Close at the day's highs would mark a break above the 50% retracement for the downleg off last week's highs, and provide bullish impetus to target 1.0778 initially, ahead of firmer resistance into 1.0811.

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