Forex: EUR/USD on hold above 1.2900 waiting for Cyprus vote

FXstreet.com (Barcelona) - EUR/USD is last at 1.2911, off early session lows at 1.2889, slightly retracing from session highs at 1.2915, while local share markets trade in a mixed way, with Nikkei leading the loses down -1.58%. “The local market is again in consolidation mode,” says Peter Fell at FXBriefs.com, adding: “large option expiry’s are said to be at 1.2900, given there is no event risk until Europe opens, I cannot see the EUR/USD moving to far from the 1.2900 handle.”

According to Valeria Bednarik, Chief Analyst at Fxstreet.com: “Technical readings in the hourly chart show bears remain in control, as price remains capped by its 20 SMA while indicators stand in negative territory,” the analyst noted, expanding: “In the 4 hours chart indicators are getting deeper in negative territory, which also favors a downside continuation. However, market will likely remain on hold waiting more next chapter on Cyprus,” she concludes.

Valeria finds support levels at: 1.2880, 1.2840 and 1.2790, while resistance levels at: 1.2950, 1.2970 and 1.3000.