EURUSD Movement
For the 24 hours to 23:00 GMT on Friday, EUR declined 0.18% against the USD and closed at 1.3359.
In Germany, the seasonally adjusted trade surplus widened to €16.80 billion in December, compared to a revised €15.60 billion surplus reported in November. Germany’s exports rose 0.3% (MoM) in December, compared to a revised 2.2% drop recorded in the previous month. Similarly, imports fell at a slower pace of 1.3% (MoM) in December, following a 3.8% drop in November. Also, current account surplus widened to €17.3 billion in December, from a €16.2 billion surplus in the previous month.
Separately, in its monthly business survey report, the Bank of France indicated that the business confidence index rose to a reading of 95.0 in January from December’s downwardly revised reading of 94.0. Market had expected the index to fall to 93.0.
Besides, industrial production in Italy rose a seasonally adjusted 0.4% (MoM) in December, higher than the expected 0.3% rise and compared to a revised 1.1% drop recorded in November. On an annual basis, industrial production dropped 6.6% in December, following a 7.7% fall recorded in the previous month.
In the Asian session, at GMT0400, the pair is trading at 1.3374, with the EUR trading 0.11% higher from Friday’s close.
The pair is expected to find support at 1.3341, and a fall through could take it to the next support level of 1.3308. The pair is expected to find its first resistance at 1.3419, and a rise through could take it to the next resistance level of 1.3464.
Later today, ministers from the 17-member Euro-area would meet in Brussels to discuss aid to Cyprus and Greece.
The currency pair is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.
