The EURUSD pair trended sideways on Friday, in a narrow range between 1.1755 and 1.1785. The European currency drew support from strong July Markit PMIs, which exceeded experts' expectations, both for Germany and for the Eurozone as a whole. These data prevented the single currency from declining, but were not enough for it to post gains heading into the weekend.
The key pair caught some momentum on Monday, when, together with the dollar, it approached the 1.18 handle, despite Germany’s sluggish Ifo Business Climate Indicator for July. The gauges of business optimism, current conditions and economic expectations fell short of the median consensus. Nonetheless, the prints exceeded 100, pointing to positive dynamics of the country's economy.
EURUSD targeted the upper bound of a descending channel, but after having reached it, the pair could reverse course to 1.1751. The euro continues to trade within a medium-term descending channel.