The common currency gave up the gains from earlier this week as the EURUSD lost the $1.130 handle. Economic data on the day was sparse. The ECB President, Mario Draghi along with the IMF Chief, Christine Lagarde spoke at an ECB-hosted event. Both argued the risks of the trade dispute between the US and China. They noted that this could create headwinds for the global economy.
EURUSD Likely to Test Lower Support
Following the recent rally, the euro currency is taking a breather. The correction lower could see price eventually testing the $1.1250 support. Establishing firm support here could signal a possible move to the upside. However, the Stochastics oscillator is bullish, which could signal a reversal. A close above the recent highs of 1.1338 is needed to confirm further upside in the single currency.
