EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR rose 0.31% against the USD and closed at 1.2421 on Friday.
On the data front, consumer confidence in France unexpectedly fell to a level of 104.0 in January, against market anticipation for a rise to a level of 106.0 and compared to a reading of 105.0 in the prior month.
The US Dollar declined against its major peers on Friday, after preliminary estimates showed that the annualised gross domestic product (GDP) in the US expanded less-than-expected by 2.6% on a quarterly basis in the fourth quarter of 2017, marking the slowest pace of growth since the first quarter of 2017, restrained by a widening trade deficit. The nation’s GDP had advanced 3.2% in the prior quarter, while market participants had envisaged for a rise of 3.0%.
Other data indicated that the nation’s flash durable goods orders grew 2.9% in December, rising by the most in 6 months and beating market expectations for a gain of 0.8%, thus underlining strength in the nation’s industrial sector. Durable goods orders had recorded a rise of 1.3% in the previous month. On the other hand, the nation’s advance goods trade deficit surprisingly widened to a nearly 10-year high level of $71.6 billion in December, compared to a revised deficit of $70.0 billion in the prior month. Markets were anticipating the country’s advance goods trade deficit to narrow to $68.9 billion.
In the Asian session, at GMT0400, the pair is trading at 1.2419, with the EUR trading slightly lower against the USD from Friday’s close.
The pair is expected to find support at 1.2371, and a fall through could take it to the next support level of 1.2324. The pair is expected to find its first resistance at 1.2480, and a rise through could take it to the next resistance level of 1.2542.
Amid a lack of key macroeconomic releases in the Euro-zone today, investors would focus on the US personal income and spending data for December as well as the Dallas Fed manufacturing activity index for January, scheduled to release later in the day.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
