Breaking: EUR/USD breaks above 1.10 amid trade hopes – two week highs

Yohay Elam FXStreet

EUR/USD has finally broken above the psychologically significant level of 1.10, hitting the highest levels in two weeks. The world's most popular currency pair has been rejected at this level four times in recent weeks.

The US and China are reportedly nearing a trade agreement. The upbeat market sentiment is weighing on the safe-haven US Dollar. The world's largest economies may be close to agreeing on a currency pact, lifting some restrictions from Huawei, and refraining from new tariffs. High-level talks are scheduled today in Washington.

Resistance awaits at 1.1025, followed by 1.1075 and 1.1115. Support awaits at 1.0965, 1/-0940, and 1.0905. Momentum on the four-hour chart has turned positive and the currency pair is breaking above the 200 Simple Moving Average.

EUR USD technical chart above 1.10 October 10

The common currency seems to be shrugging off the latest German trade figures for August, which have shown another drop in exports. The European Central Bank's meeting minutes are due out later today, as well as the Consumer Price Index (CPI) from the US for September.

Author

Yohay Elam

FXStreet

Yohay is in Forex since 2008 when he founded Forex Crunch, a blog crafted in his free time that turned into a fully-fledged currency website later sold to Finixio.

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