EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.65% against the USD and closed at 1.2770, after German Chancellor, Angela Merkel and French President, Nicolas Sarkozy stated that they have made progress toward implementing tougher budget rules across the Euro-zone and that they would aim to foster stronger growth and job creation.
In economic news, in Germany, trade surplus widened to €15.1 billion in November, compared to a downwardly revised surplus of €12.5 in October. The industrial production declined 0.6% (MoM) in November, compared to a 0.8% rise in October. The current account surplus widened to €14.3 billion in November, compared to €10.0 billion in October.
In France, trade deficit narrowed to €4.41 billion in November, compared to a revised deficit of €5.57 billion in October.
Additionally, in Euro-zone, Sentix investors’ confidence rose to -21.1 in January, compared to -24.0 in December.
In the Asian session, at GMT0400, the pair is trading at 1.2771, with the EUR flat from yesterday’s close.
The pair is expected to find support at 1.2709, and a fall through could take it to the next support level of 1.2648. The pair is expected to find its first resistance at 1.2809, and a rise through could take it to the next resistance level of 1.2847.
Trading trends in the pair today are expected to be determined by manufacturing and industrial production data release in France.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
