EUR/USD: Bulls building on the bullish opening gap

The euro kicked-off the week on a stronger footing against its American rival, now pushing the EUR/USD pair above 100-DMA at 1.0724.

EUR/USD cheers Trump’s protectionism

Currently, the spot now jumps +0.32% to 1.0732, hovering within a striking distance of daily highs reached last hour at 1.0740. The main currency pair stalled its overnight retreat and witnessed a bullish opening gap in Asia this Monday, as the US dollar remained heavily offered across the board on Trump’s protectionism, after the US President signed an executive order on Friday, instituting a 90-day travel ban for nationals from some of the Islamic States.

Broadly speaking, the funding currency euro also benefits from persisting risk=off environment triggered by the US political turmoil, while thin-trading in wake of Lunar New Year holidays in China, Hong Kong and Singapore, exaggerates the moves.  

Heading into a new week, focus remain on the FOMC meeting and Trumponomics for fresh incentives on the USD price-action. In the meantime, the major will get influenced by the German prelim CPI and US core PCE price index data due later on Monday.

EUR/USD Technical Levels

In terms of technicals, the pair finds the immediate resistance 1.0750 (psychological levels). A break beyond the last, doors will open for a test of 1.0773 (7-week high) and from there to 1.0800 (zero figure). On the flip side, the immediate support is placed at 1.0716 (5 & 10-DMA) below which 1.0700 (key support) and 1.0661 (20-DMA) could be tested.