EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR marginally rose against the USD and closed at 1.1371 on Friday.
On the data front, the Euro-zone’s preliminary consumer price index (CPI) rose 1.2% on a yearly basis in June, meeting market expectations. In the prior month, the CPI had registered a similar rise.
In the US, data indicated that the personal spending advanced 0.4% on a monthly basis in May, undershooting market expectations for a gain of 0.5%. In the prior month, personal spending had recorded a revised rise of 0.6%. Moreover, the nation’s personal income climbed 0.5% on a monthly basis in May, compared to a similar rise in the previous month. Markets had envisaged personal income to register an increase of 0.3%.
On the other hand, the final Reuters/Michigan consumer sentiment index declined to a level of 98.2 in June, compared to a level of 100.0 in the prior month. Market participants and preliminary figures had expected the index to fall to a level of 97.9. Also, the US Chicago Fed Purchasing Managers’ Index contracted to a level of 49.7 in June, compared to a reading of 54.2 in the previous month. Market had anticipated the index to drop to a level of 53.5.
In the Asian session, at GMT0300, the pair is trading at 1.1353, with the EUR trading 0.16% lower against the USD from Friday’s close.
The pair is expected to find support at 1.1336, and a fall through could take it to the next support level of 1.1320. The pair is expected to find its first resistance at 1.1381, and a rise through could take it to the next resistance level of 1.1410.
Looking ahead, traders would keep an eye on the Euro-zone’s unemployment rate and the Markit manufacturing PMI, both for June, set to release across the euro bloc. Additionally, Germany’s unemployment rate for June, will also be on investors’ radar. Later in the day, the US Markit manufacturing PMI and the ISM manufacturing, both for June along with construction spending for May, will garner significant amount of investors’ attention.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
