EUR/USD: Euro-zone’s consumer confidence index rose in June


EURUSD Movement

For the 24 hours to 23:00 GMT, the EUR rose 0.76% against the USD and closed at 1.1270.

On the macro front, Euro-zone’s consumer confidence rose to -14.7 in June, more than market expectations for a rise to a level of -15.0 and compared to a reading of -18.8 in the prior month.

In the US, the Chicago Fed National Activity Index advanced to 2.6 in May, compared to a revised reading of -17.9 in the earlier month. Meanwhile, existing home sales plunged by 9.7% to an annual rate of 3.91 million on a monthly basis in May, recording its lowest level since October 2010 and compared to a level of 4.33mn in the previous month.

In the Asian session, at GMT0300, the pair is trading at 1.1274, with the EUR trading slightly higher against the USD from yesterday’s close.

The pair is expected to find support at 1.1212, and a fall through could take it to the next support level of 1.1151. The pair is expected to find its first resistance at 1.1308, and a rise through could take it to the next resistance level of 1.1343.

Moving ahead, traders would keep a watch on the Markit manufacturing and services PMIs for June, slated to release across the euro area. Later in the day, the US Markit manufacturing and services PMIs, both for June, followed by the Richmond Fed manufacturing index for June and new home sales for May, would keep investors on their toes.

The currency pair is trading above its 20 Hr and 50 Hr moving averages.

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