EURUSD Movement
For the 24 hours to 23:00 GMT on Friday, EUR rose 0.32% against the USD and closed at 1.2576, amid optimism that that Greece would stay in the Euro-zone and following positive German and French consumer confidence data.
The Euro traded on stronger footing, amid speculation that Greece would remain in the Euro-zone after Italian Prime Minister, Mario Monti indicated that Germany has an interest in ensuring that no country leaves the Euro-zone and the region can have euro bonds soon. The Euro received further support after the consumer confidence index in France rose to a reading of 90.0 in April, following a revised reading of 89.0 in March.
Separately, in Germany, the Gfk consumer confidence index stood at a reading of 5.7 for June, while new orders in the German construction sector rose 6.0% (YoY) in March.
The Euro came under pressure during the New York session, following news that Spain’s wealthiest autonomous region, Catalonia, had pleaded for help to refinance its debt and after Standard & Poor’s Ratings Services revised down its economic risk score on Spain and lowered ratings on five financial institutions in the nation.
In the Asian session, at GMT0300, the pair is trading at 1.2595, with the EUR trading 0.15% higher from Friday’s close, after recent polls in Greece showed the pro-bailout party, New Democracy was gaining in the polls, sparking appetite for riskier currencies.
The pair is expected to find support at 1.2527, and a fall through could take it to the next support level of 1.2459. The pair is expected to find its first resistance at 1.2633, and a rise through could take it to the next resistance level of 1.2671.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
