EUR/USD on Monday rebounded somewhat of the recent lows below the 1.18 mark, but the upside remained well capped as well.
The IFO index comeback gave some euro strength, which permitted EUR/USD to move higher from the 1.1790- to the 1.1870-zone. There things stalled though in the absence of fresh data input most likely. The US New home sales, while shockingly strong, were ignored. This morning, the EUR/USD pair retreated somewhat plying back to the 1.1840 area on no specific news flow.
ČSOB Investment Research