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EUR/USD is at the highest levels since August 2015, getting closer to breaking above those levels as well. What’s next for the pair?

USD is weakness is the sole driver. This has nothing to do with euro. The last indicator to hurt the greenback was the weak ISM manufacturing PMI, but the  lack of hike hints in the recent Fed decision is the main driver.

The next key level to watch is 1.1712, which was the swing high last summer, as the Chinese stock market crashed. Above this level, we are back to the levels last seen earlier that year and also seen beforehand: 1.1876 was the post-crisis low of 2010, and 1.20 is a very round number and close to the 2012 low of 1.2040. Further above, 1.2230 is worth nothing as it cushioned the fall of the pair back in late 2014, before the ECB announced QE.

On the downside, 1.15 is support, followed by 1.1460 and 1.1410. Upon a rejection of 1.1712, we could see the pair finding its way down. However, at the moment everything is going against the greenback.

Here is the hourly chart:

EURUSD surging May 3 2016

After showing the  hourly chart that explains the big rise, here is the daily chart shows how the pair is emerging from 9 months of a wide range to higher levels.

More:  EUR/USD: What Can Break The Range? Where To Target? – ANZ

EURUSD daily chart higher