EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.47% against the USD and closed at 1.3069, after the Purchasing Managers’ Index (PMI) in the Euro-zone rose to a 16-month high in June, while French, Spanish and Italian manufacturing PMI also came in better than market consensus in June. However, German manufacturing PMI dropped more than preliminary estimate in June. Meanwhile, the preliminary Consumer Price Index (CPI) in the Euro-zone rose 1.6% (YoY) in June. Additionally, the unemployment rate in the Euro-zone rose less than expected to 12.1% in May.
Meanwhile, on the US economic front, the final manufacturing PMI fell to a reading of 51.9 in June, whereas the Institute for Supply Management (ISM) indicated that its manufacturing PMI edged up to a reading of 50.9 in June.
In the Asian session, at GMT0300, the pair is trading at 1.3062, with the EUR trading marginally lower from yesterday’s close.
The pair is expected to find support at 1.3026, and a fall through could take it to the next support level of 1.2990. The pair is expected to find its first resistance at 1.3085, and a rise through could take it to the next resistance level of 1.3108.
Trading trends in the pair today are expected to be determined by the release of Spanish unemployment and Euro-zone’s producer price index data.
The currency pair is showing convergence with its 20 Hr moving average and is trading just above its 50 Hr moving average.
