EURUSD trades below 1.1300 level amid upbeat German ZEW sentiment index, good to sell on rallies

EURUSD was consolidating in narrow range for past two days. The pair has suddenly declined more than 25 pips amid upbeat German ZEW economic sentiment. German ZEW economic sentiment came at 3.1 compared to forecast of 0.9 vs -3.6 previous month.The pair hits intraday low of 1.12799 and is currently trading around 1.12940.

Fed Evans hawkish comments yesterday is supporting US dollar. He said that there is possibility of rate hike if economy grows as per expectations.

On the higher side,1.1350 (100- day MA) and any violation above targets 1.1380/1.14200.Any break above 1.1450 confirms minor trend reversal.

The near term support is around 1.1271 (20- day MA) and any break below confirms slight weakness and a dip till 1.1230/1.1200 is possible. Any break below 1.11760 confirms that bullish trend has stopped at 1.14482 and decline till 1.1100 is possible.

It is good to sell on rallies around 1.13350-370 WITH SL around 1.13800 for the TP of 1.1255/1.120