EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.46% against the USD and closed at 1.3408, in a clam Monday session.
In economic news, on a seasonally adjusted basis, industrial output in Italy rose 0.2% (MoM) in September, slightly less than analysts’ expectations for a 0.3% rise and compared to a 0.2% drop registered in the previous month. Separately, European Central Bank (ECB) Governing Council Member and President of Bundesbank, Jens Weidmann, in his speech at Basel, stated that “government bonds should be backed by sufficient capital” and that the Euro-zone banks “should also limit their credit to individual sovereign debtors.” Additionally, noting European Commission’s flexibility in granting Spain, France, Slovenia and Cyprus longer adjustment periods, Weidmann suggested that such exemption should only be granted under well justified exceptions.
In the Asian session, at GMT0400, the pair is trading at 1.3398, with the EUR trading 0.07% lower from yesterday’s close.
The pair is expected to find support at 1.3364, and a fall through could take it to the next support level of 1.3329. The pair is expected to find its first resistance at 1.3425, and a rise through could take it to the next resistance level of 1.3451.
Later today, Germany and Italy are scheduled to release reports on their respective consumer price index.
The currency pair is showing convergence with its 20 Hr moving average and is trading just above its 50 Hr moving average.
