EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose marginally against the USD and closed at 1.3112.
A spokesperson for Spain’s Prime Minister stated that the country’s stance on a bailout had not changed and the government had not yet made a decision on requesting aid.
Separately, the German government lowered its forecast for economic growth in 2013 to 1.0% from 1.6%, as the Euro-zone’s debt crisis and slowing global trade undercut the performance of the country.
Meanwhile in the US, housing starts surged 15.0% to an annual rate of 872,000 in September from the revised August estimate of 758,000. Meanwhile, building permits surged 11.6% to an annual rate of 894,000 in September, the highest level since July of 2008.
Euro-zone’s seasonally adjusted construction output rose 0.7% (MoM) in August, compared to a 0.1% rise in the previous month.
In the Asian session, at GMT0300, the pair is trading at 1.3089, with the EUR trading 0.18% lower from yesterday’s close.
The pair is expected to find support at 1.3070, and a fall through could take it to the next support level of 1.3050. The pair is expected to find its first resistance at 1.3124, and a rise through could take it to the next resistance level of 1.3159.
Trading trends in the pair today are expected to be determined by release of initial jobless claims and leading indicators in the US. Investors also await a two-day summit in Brussels of European Union policymakers to discuss Greece’s steps towards restoring fiscal health as well as ways to firewall and extinguish the debt crisis.
The currency pair is trading between its 20 Hr and 50 Hr moving averages.
