EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.63% against the USD and closed at 1.4226.
The European Central Bank (ECB) indicated that it would continue to monitor ‘very closely’ all developments relating to the upside risks to price stability. The central bank also added that its monetary policy stance remains accommodative.
In the economic news, initial jobless claims in the US fell unexpectedly to 395,000 in the week ended 6 August 2011, from the previous week’s revised figure of 402,000. Meanwhile, the wholesale price inflation in Germany slowed to 8.2% (Y-o-Y) in July, compared to 8.5% (Y-o-Y) in June.
In the Asian session, at 3:00GMT, the EURUSD is trading at 1.4199, 0.19% lower from the levels yesterday at 23:00GMT.
The pair has its first short term resistance at 1.4294, followed by the next resistance at 1.4389. The first support is at 1.4102, with the subsequent support at 1.4005.
Trading trends in the pair today are expected to be determined by data release on industrial production in the Euro zone.
The currency pair is showing convergence with its 20 Hr moving average and is trading just below its 50 Hr moving average.
