Another disappointing day at the Eurogroup meeting. Greece's bailout talks are in deadlock. The talks between the eurozone creditors and Greece came to a standoff on Monday night, concerns are mounting. In case if Greece exits from the euro bloc, the euro will be abandoned in the Balkan country and the euro will collapse. Eurogroup President Jeroen Dijsselbloem said Greece had to request an extension until Friday, otherwise the bailout would expire at the end of the month. Traders are closely monitoring the Eurogroup meeting outcome. Europe will not lose Greece from the eurozone. In case if Greece leaves the eurozone, Russia will take advantage of the situation to get closer to Greece. In 2011, Russia allocated funds to Cyprus. The fate of the euro is still threatened. The ECB has agreed to fund 60 billion Euros on February 5, this Wednesday they will reassess. The eurozone will be motivated to solve the problem as soon as they can. Today, traders are focused on German ZEW economic sentiment and ZEW economic sentiment data.
The pair closed below 2Dsma at the previous session. The pair has weekly resistance exists at 1.1535. As of now, the monthly resistance is set at 1.2000 or 50Dsma and support is at 1.0762. Support exists at 1.1320, below it 1.1270 and 1.1260 will act as trend decider levels. Today, at the Asian session the euro is looking very weak against the US dollar. The prices are closed and trading below hourly moving averages. We recommend fresh buying only above 1.1380, until then use every rise to sell with the targets at 1.1200 and 1.1160. The panic will be triggered below 1.1260. At yesterday's session, we recommend risky selling below 1.1380, safe selling is below 1.1340.
The material has been provided by InstaForex Company - www.instaforex.com
