EUR/USD: 100 and 200 dma's are key - Scotiabank

In respect to EUR/USD, analysts at Scotiabank noted that the fundamental releases have been limited, and near-term risk lies with the broader market tone and the NA response to Monday’s U.S. data.

Key Quotes:

"Thursday’s ECB minutes present the greatest risk for EUR as market participants assess the outlook for policy into the September 8 meeting. The 2Y Germany-U.S. yield spread is steady at the lower end of its two month range, measures of implied EUR volatility are low, and risk reversals are showing signs of continued stabilization following the recent post-Brexit moderation in the premium for protection against downside risk. EUR has yet to make a clear break of its 100 (1.1230, resistance) and 200 day (1.1087, support) MA’s. The descending trend channel from early May suggests resistance at 1.1250."