EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.10% against the USD and closed at 1.1211.
On macro front, Italy’s industrial orders fell 4.2% on a monthly basis in March, compared to a revised gain of 5.2% in the prior month. On the other hand, the nation’s industrial sales advanced 0.5% MoM in March, from a 2.0% rise reported in the previous month.
In the US, data indicated that the number of people applying for fresh jobless claims rose slightly to a level of 234.0K in the week ended 20 May 2017, but still remained at historically low levels. Market participants were anticipating initial jobless claims to rise to a level of 238.0K, compared to a revised level of 233.0K in the previous week.
Additionally, the nation’s advance goods trade deficit widened to $67.6 billion in April, from a revised deficit of $65.1 billion in the prior month. Investors had expected the trade deficit to decrease to $64.5 billion.
Moreover, US wholesale inventories unexpectedly fell by 0.3% in April, against market expectations for it to rise by 0.2%. The preliminary March estimate was revised lower to 0.1% from the initially estimated rise of 0.2%.
Meanwhile, the Federal Reserve (Fed) Board Governor, Lael Brainard, stated that risk to the US economy has lowered due to brighter global economic outlook.
In the Asian session, at GMT0300, the pair is trading at 1.12, with the EUR trading 0.10% lower against the USD from yesterday’s close.
The pair is expected to find support at 1.1173, and a fall through could take it to the next support level of 1.1147. The pair is expected to find its first resistance at 1.1238, and a rise through could take it to the next resistance level of 1.1277.
Trading trends in the pair today are expected to be determined by the release of annualised GDP growth data in the US for the first quarter of 2017, along with durable goods orders for April and the Michigan consumer sentiment index for May, due later in the day.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
