The euro was unable to make any significant headway against the US dollar ahead of the London session on Thursday despite some positive global cues that were supportive for risk-rally.
Yesterday's manufacturing data from China, the U.K. and the eurozone were quite impressive and Portugal sold EUR 1.5 billion treasury bills with lower-yields than prior auction. Germany also sold more than 4 billion euros of German bund at a lower-yield than its January auction.
Besides, rumors that a deal between Greece and private bondholders would be announced this week itself also lifted risk-sentiment. Greek Finance Minister Venizelos said that the nation is moving closer to finalize the debt swap agreement with private bondholders.
These positive developments helped the euro to appreciate almost 1.5 percent against the dollar in Wednesday's European session. However, the pair eased slightly in the afternoon session of yesterday's New York session and stalled quietly in the Asian session today.
The pair is likely to move sideways in the upcoming session as cautious traders stay on the sidelines ahead of crucial macroeconomic numbers, especially the non-farm payrolls figures from the U.S. on Friday. Resistance level for the pair is seen at 1.3250, the 38.2 percent retracement level while support is likely to be at its 23.6 percent retracement level of 1.30.
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