EURUSD Movement
For the 24 hours to 23:00 GMT on Friday, EUR rose 0.75% against the USD and closed at 1.3177.
Euro rose after comments from German Chancellor, Angela Merkel, that the European officials have discussed combining Euro-area bailout funds to reinforce the region’s financial firewall, boosted risk appetite. Additionally, a third straight rise in Euro-zone exports in January bolstered hopes that manufacturers would help the region avoid a severe downturn, while a rebound in imports offered a sign that domestic demand is on the mend.
On the economic front, trade balance in the Euro-zone trade balance recorded deficit of €7.6 billion in January, compared to a revised surplus of €9.1 billion recorded in December and against the market expectation of €3.0 billion trade deficit.
In the Asian session, at GMT0400, the pair is trading at 1.3174, with the EUR trading 0.02% lower from Friday’s close.
The pair is expected to find support at 1.3087, and a fall through could take it to the next support level of 1.2999. The pair is expected to find its first resistance at 1.3225, and a rise through could take it to the next resistance level of 1.3275.
The pair is expected to trade on the cues from the release of construction output and current account data in the Euro-zone.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
