EUR/USD vulnerable, waiting for triggers

FXStreet (Córdoba) - The EUR/USD is going through a consolidation phase in familiar territory Friday, having bounced from a 2 ½-month low scored the previous day as investors square positions ahead of the weekend.

The EUR/USD fell to a low of 1.3646 weighed by disappointing Eurozone GDP figures, but the dollar failed to hold gains and the pair was attracted back to the 1.3710/20 range, where it has spent most of the day.

The euro has fallen a long way - more than 2% from 1.3992 - since May 8 when ECB President Draghi hinted at easing measures in June, what has kept and will likely keep the shared currency under pressure.

Eurozone trade balance figures failed to offer inspiration to the euro. During the New York session, US data includes Apr housing starts and the Reuters/Michigan confidence index.


EUR/USD technical levels

The EUR/USD is currently trading at the 1.3715 area, little changed on the day but headed for its second weekly loss in a row. As for technical levels, next supports are seen at 1.3642 (Feb 27 low), 1.3623 (200-day SMA) and 1.3600 (psychological level). On the flip side, resistances could be found at 1.3739 (100-day SMA), 1.3774 (May 12 high) and 1.3800 (psychological level).