EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.80% against the USD and closed at 1.1042, following soft manufacturing PMI data across the Euro-zone.
Data released showed that the final manufacturing PMI in Germany and France climbed to 51.90 and 50.7 in June respectively,. Meanwhile, the final manufacturing PMI in the Euro-zone rose slightly to 52.50 in June, following a level of 52.20 in May. However, manufacturing activity in Spain and Italy fell below market expectations in the same month to 54.5 and 54.1 respectively.
Meanwhile, Greece continued to remain in focus, after reports came in that the Greek Prime Minister, Alexis Tsipras, has accepted the demand made by its creditors with minor changes. Later, the Euro-zone Finance Ministers stated that there could be no further talks until the outcome of the Greek referendum on 05 July is known.
In the US, the ISM manufacturing PMI showed a slight improvement, after it rose more than expected to 53.5 in June, following May’s reading of 52.8. Meanwhile, the final print of the nation’s Markit manufacturing PMI eased to 53.6 in June, compared to previous month’s level of 54.0.
Other economic data revealed that private sector employment in the US climbed by 237.00 K in June, more than market expectations of an advance of 218.00 K. In the previous month, it had registered a revised increase of 203.00 K, indicating robust job growth in the nation
In the Asian session, at GMT0300, the pair is trading at 1.1074, with the EUR trading 0.29% higher from yesterday’s close.
The pair is expected to find support at 1.1013, and a fall through could take it to the next support level of 1.0953. The pair is expected to find its first resistance at 1.1153, and a rise through could take it to the next resistance level of 1.1233.
Trading trends in the pair today are expected to be determined by the US non-farm pay rolls as well as initial jobless claims data, scheduled later today.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
