EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.15% against the USD and closed at 1.3036, as a string of solid Euro-zone economic figures instilled confidence in investors.
The Euro-zone’s economic sentiment indices improved in June along with improvement in the industrial and consumer confidence index. Adding to the positive tone, the number of people unemployed in Germany slipped by 12.0K in June, against the expected 8.0K rise.
Meanwhile, in the US, the Kansas region manufacturing activity decreased unexpectedly in June, while the initial jobless claims fell less than expected by 9K to a seasonally adjusted 346K in the in the week ended 22 June 2013. A separate report showed that the US pending home sales advanced to six-year high in May.
Separately, the Governor of the Federal Reserve (Fed), Jerome Powell stated that the Federal Reserve may reduce its asset purchases if the economy improves substantially or at a pace they foresee. He also added that the Fed could even increase the pace if the economy performs more poorly.
In the Asian session, at GMT0300, the pair is trading at 1.3068, with the EUR trading 0.25% higher from yesterday’s close.
The pair is expected to find support at 1.3020, and a fall through could take it to the next support level of 1.2971. The pair is expected to find its first resistance at 1.3097, and a rise through could take it to the next resistance level of 1.3125.
Data slated later today is expected to reveal a monthly improvement in Germany’s retail sales and an annual improvement in its preliminary consumer price index. Other major macro releases include French producer prices and Italian consumer and producer prices.
The currency pair is trading just above its 20 Hr and 50 Hr moving averages.
