Forex: EUR/USD testing 1.3200

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FXstreet.com (Córdoba) - The Euro is extending its recovery against the Dollar and currently is testing levels above 1.3200. EUR/USD tumbled to 1.3152, daily low, a few hours ago and the recovered some ground. A few minutes ago the Euro broke above 1.3200 and rose slightly to 1.3206, reaching the highest price since the American session started.

Current price at 1.3201/04 is 0.97% below today's opening price.

According to Michael J. Malpede, analyst at Easy Forex the Euro remains vulnerable to fears of contagion of sovereign debt risk in Europe and widening of yields and growth differentials.

"The CFTC commitment of traders for the IMM released on Friday shows that hedge funds and speculators increased their net short EUR positions by
25%", Malpede said.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.

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