EUR/USD around 1.0620 post-German data

The upside momentum in EUR/USD seems to have run out steam in the area of daily highs near 1.0620/25.

EUR/USD muted on data

Spot kept the composure after final inflation figures in Germany for the month of January have matched the preliminary readings, showing the CPI rising at an annualized 1.9%, same as the broader HICP.

On the not-so-bright-side, advanced German GDP figures have come in short of expectations, showing the economy is expected to have expanded at an annual pace of 1.2% and 0.4% QoQ during the October-December period.

In the meantime, the pair keeps the positive fashion amidst a renewed offered bias around the greenback. However, cautiousness should pick up pace among investors in light of the upcoming testimony by Chief J.Yellen before the Senate Banking Committee due later in the European afternoon.

Still in Euroland, German/EMU ZEW Survey is due later along with flash Q4 GDP and Industrial Production figures in the euro area. In the US, January’s Producer Prices are due as well as speeches by Richmond Fed J.Lacker (2018 voter, hawkish), Dallas Fed R.Kaplan (voter, centrist) and Atlanta Fed D.Lockhart (who will step down at the end of the month).

EUR/USD levels to watch

At the moment the pair is up 0.19% at 1.0619 and a breakout of 1.0670 (high Feb.10) would target 1.0704 (20-day sma) en route to 1.0752 (100-day sma).On the flip side, the immediate support lines up at 1.0590 (low Feb.13) followed by 1.0587 (low Jan.19) and finally 1.0452 (low Jan.11).