EURUSD continues to trade higher and jumped nearly 25 pips from intraday low of 1.12562.The pair is trading higher amid tariff of USD11bn imposed by US on EU products. It hits high of 1.12800 and is currently trading around 1.12790.
Markets eye ECB monetary policy ,Fed meeting minutes and EU Brexit meeting which is to happen on Wednesday for further direction.The spread between US 10 year and bund spread widened to 250 basis point from 241 basis point.
On the higher side, near term resistance is around 1.12810 (20- day MA) and any break above will take the pair to next level 1.1312 (55- day EMA)/1.13500 (61.8% fib)/1.1400.
The near term support is around 1.12500 and any violation below will drag the pair till 1.1200/1.11760. Any break below 1.11760 will confirm bearish continuation.
It is good to buy on dips around 1.1250-55 with SL around 1.1200 for the TP of 1.13500.
