EURUSD Movement
For the 24 hours to 23:00 GMT, EUR declined 0.70% against the USD and closed at 1.2845, after economic data indicated that German import prices fell more-than-expected in April, while French consumer confidence dropped to a near five-year low in May.
Meanwhile, the US Dollar rose on the heels of upbeat home prices and consumer confidence data in the US. The S&P/Case-Shiller home price index rose 10.9% (YoY) in March, following a 9.3% increase recorded in the previous month. Moreover, the US consumer confidence index rose to a five-year high to record a reading of 76.2 in May, from a revised 69.0 recorded in April. However, the Richmond Fed manufacturing index rose to a reading of -2.0 in May, from a reading of -6.0 in the previous month. Market had expected the index to rise to a reading of 2.0.
In the Asian session, at GMT0300, the pair is trading at 1.2856, with the EUR trading marginally higher from yesterday’s close.
The pair is expected to find support at 1.2814, and a fall through could take it to the next support level of 1.2772. The pair is expected to find its first resistance at 1.2924, and a rise through could take it to the next resistance level of 1.2992.
German inflation data along with the nation’s unemployment rate are the key events scheduled for today.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
