EUR/USD sees an uptick to 1.1580 on US dollar selling

• Broad US dollar selling amid risk-on aids the EUR/USD rebound.
• Risks corrective rally above 1.1600 as technical setup favors upside on intraday charts.
• Eyes on USD dynamics ahead of the US JOLTS job openings data.

The EUR/USD pair found fresh buyers once again at the midpoint of the 1.15 handle and staged a solid comeback in early dealings, as a positive start on the European equities markets boosted risk-appetite and knocked-off the greenback across the board. The US dollar index turned negative to now trade near 95.20 levels, down from daily highs at 95.37.

Meanwhile, the spot remained unfazed by a sharp decline in the German industrial output, as it was negated by the upbeat trade surplus and current account data. German industrial production fell -0.9% over the month in June while increasing 2.5% y/y.

In the day ahead, in absence of any fundamental drivers from Euroland, the pair will continue to get influenced by the USD price-action amid persistent US-China trade tensions.

EUR/USD Technical Levels

According to the AceTrader Team, “despite Euro's resumption of recent decline to a 1-month trough at 1.1530 due to broad-based USD’s strength yesterday, loss of momentum should keep price above Jun's 11-month trough at 1.1509 and bring a much-needed correction later today or tomorrow. On the upside, a daily close above 1.1611 signals temporary low is in place and brings stronger retracement towards 1.1648/58.”