EUR/USD back below 1.1400 post-EMU CPI

• The pair fades the spike to session tops near 1.1420.
• Another bout of USD weakness sends DXY to lows near 96.30.
• EMU’s final Core CPI rose 1.1% YoY, headline CPI gained 2.1% YoY.

The European currency keeps the upbeat momentum so far on Friday, with EUR/USD returning to sub-1.1400 levels after climbing as high as the 1.1420 area.

EUR/USD unfazed after EMU data

After failing once again to extend the bounce beyond the 1.1420 level earlier in the session, the pair has come under some selling pressure following the publication of final inflation figures in Euroland.

In fact, and tracked by Core CPI, consumer prices rose at an annualized 1.1% during July, while headline prices advanced 2.1%, both prints matching the preliminary readings and leaving no room for surprises.

Later in the day, US preliminary Consumer Sentiment for the current month will be the only release in the US calendar.

EUR/USD levels to watch

At the moment, the pair is up 0.12% at 1.1392 and a breakout of 1.1420 (high Aug.17) would aim for 1.1455 (10-day SMA) and finally 1.1566 (21-day SMA). On the flip side, initial support emerges at 1.1299 (2018 low Aug.15) seconded by 1.1188 (61.8% Fibo of the 2017-2018 up move) and then 1.1118 (monthly low Jun.20 2017).