EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR rose 0.61% against the USD and closed at 1.1070.
On the data front, Euro-zone’s economic sentiment index rose to a level of -22.4 in September, more than market expectations for a rise to a level of -32.2. The index had registered a reading of -43.6 in the previous month.
Separately, in Germany, the ZEW economic sentiment index advanced to a level of -22.5 in September, more than market consensus for a rise to a level of -37.0. The index had recorded a reading of -44.1 in the prior month. Meanwhile, the nation’s ZEW current situation index declined to a level of -19.9 in September, compared to market anticipations for a fall to a level of -15.0. In the previous month, the index had registered a level of -13.5.
In the US, data showed that the manufacturing production advanced 0.5% on a monthly basis in August, following a drop of 0.4% in the previous month. Moreover, the nation’s industrial production rose 0.6% on a monthly basis in August, compared to a revised fall of 0.1% in the previous month. Market participants had envisaged industrial production to register a rise of 0.2%. Also, the US NAHB housing market index unexpectedly climbed to a 11-month high level of 68.0 in September, compared to a revised level of 67.0 in the prior month. Markets had anticipated the index to decline to a level of 66.0.
In the Asian session, at GMT0300, the pair is trading at 1.1065, with the EUR trading 0.05% lower against the USD from yesterday’s close.
The pair is expected to find support at 1.0989, and a fall through could take it to the next support level of 1.0946. The pair is expected to find its first resistance at 1.1075, and a rise through could take it to the next resistance level of 1.1118.
Looking ahead, traders would await Euro-zone’s consumer price index for August, set to release in a few hours. Later in the day, the US Federal Reserve interest rate decision followed by the US housing starts and building permits, both for August and the MBA mortgage applications, will garner significant amount of investors’ attention.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
