EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.12% against the USD and closed at 1.1800.
Macroeconomic data released in the US indicated that existing home sales unexpectedly eased by 1.3% on monthly basis to a level of 5.44 million in July, dipping to an eleven-month low level and offering signs of a slowdown in the nation’s housing sector. Market participants had envisaged existing home sales to rise to a level of 5.55 million, after recording a revised level of 5.51 million in the prior month. Meanwhile, the nation’s initial jobless claims rose less-than-anticipated to a level of 234.0K in the week ended 19 August, compared to market consensus for a rise to a level of 238.0K. Initial jobless claims had recorded a level of 232.0K in the previous week.
In the Asian session, at GMT0300, the pair is trading at 1.1800, with the EUR trading flat against the USD from yesterday’s close, as investors look forward to remarks from key central bankers at a meeting in Jackson Hole, to get cues on the path of monetary policy.
The pair is expected to find support at 1.1784, and a fall through could take it to the next support level of 1.1769. The pair is expected to find its first resistance at 1.1815, and a rise through could take it to the next resistance level of 1.1831.
Going ahead, investors will look forward to Germany’s Ifo expectations and business climate indices for August along with the final 2Q GDP report, scheduled to release in a few hours. Moreover, the US flash durable goods orders for July, set to release later in the day, will be eyed by traders.
The currency pair is showing convergence with its 20 Hr and 50 Hr moving averages.
