EUR/USD: Euro reverses its losses in the Asian session


EURUSD Movement

For the 24 hours to 23:00 GMT, the EUR declined 0.22% against the USD and closed at 1.1551, after an Italian lawmaker, Claudio Borghi, stated that readopting a national currency would resolve the country’s problem.

On the data front, the Euro-zone’s producer price index (PPI) climbed 4.2% on a yearly basis in August, higher than market expectations for an advance of 3.8%. In the prior month, the PPI had recorded a revised rise of 4.3%.

In the Asian session, at GMT0300, the pair is trading at 1.1587, with the EUR trading 0.31% higher against the USD from yesterday’s close.

The pair is expected to find support at 1.1530, and a fall through could take it to the next support level of 1.1473. The pair is expected to find its first resistance at 1.1619, and a rise through could take it to the next resistance level of 1.1651.

Moving forward, investors would keep an eye on the Euro-zone’s retail sales for August and the Markit services PMI for September, due to release across the euro-bloc in a few hours. Later in the day, the US ADP employment change and the Markit services PMI, both for September followed by the MBA mortgage applications, will keep traders on their toes.

The currency pair is trading above its 20 Hr moving average and showing convergence with its 50 Hr moving average.

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