EUR/USD: Cross Selling Takes Prices Lower

EUR/USD has been unable to sustain gains on upbeat ZEW data nor on disappointing Empire State Manufacturing figures. Selling of EUR crosses is weighing on EUR/USD as well with stale longs still trimming positions as a result of the limited rebound. Dealers expect the 1.2935 level to provide some support as EUR/USD spent much of the holiday on Monday trading around that level. More support is at 1.2920. EUR/US trades at 1.2938.