EUR/USD sticks to intraday gains comfortably above 1.1300 handle, closer to weekly tops

   “¢   The USD continues to be weighed down the ongoing slide in the US bond yields.
   “¢   Bond yields fall to over two-month lows after disappointing US economic data.
   “¢   Bulls now await a sustained move beyond weekly highs near the 1.1340 region.

The USD remained on the defensive through the early European session and helped the EUR/USD pair to stick to its intraday gains near session tops, around the 1.1330-35 region.

After yesterday’s modest pull-back, the pair regained positive traction on the last trading day of the week and was being supported by some renewed US Dollar selling bias amid a fresh leg of a sharp downfall in the US government bond yields.  

In fact, the US Treasury bond yields tumbled to over two-month lows following the disappointing release of Empire State manufacturing index and industrial production/capacity utilization data and negatively affected the buck.  

The pair, so far, has managed to hold in the positive territory, marking its fifth day of up-move in the previous six, albeit it remains to be seen if bulls manage to make it through a hurdle marked by weekly tops, around the 1.1340 region.  

Hence, it would be prudent to wait for a sustained move beyond the mentioned barrier before positioning for any further near-term positive momentum. Nevertheless, the pair remains on track to register strong weekly gains and end on a positive note.  

Today’s US economic docket also features the release of Prelim UoM Consumer Sentiment, which will be looked upon for some fresh impetus for the pair’s momentum during the US trading session.

Technical levels to watch