EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.11% against the USD and closed at 1.1396.
Macroeconomic data showed that the Euro-zone’s Sentix investor confidence index fell less-than-expected to a level of 28.3 in July, after hitting a 10-year high level of 28.4 in the prior month, while market participants had anticipated a fall to a level of 28.1.
Separately, Germany’s seasonally adjusted trade surplus widened more-than-expected to a level of €22.0 billion in May, as growth in exports outpaced that of imports, thus reaffirming a solid upswing in the Euro-zone’s largest economy. In the prior month, the nation had registered a trade surplus of €18.1 billion, while markets were expecting the country’s surplus to rise to a level of €18.7 billion.
In economic news, the US labour market conditions index declined more-than-expected to a level of 1.5 in June, compared to market expectations for a drop to a level of 2.5 and following a revised reading of 3.3 in the preceding month. On the other hand, the nation’s consumer credit jumped to a level of $18.4 billion in May, hitting its highest level in six months and compared to a revised advance of $12.9 billion in the previous month. Market participants were anticipating consumer credit to advance to a level of $13.5 billion.
In the Asian session, at GMT0300, the pair is trading at 1.1393, with the EUR trading a tad lower against the USD from yesterday’s close.
The pair is expected to find support at 1.1377, and a fall through could take it to the next support level of 1.1362. The pair is expected to find its first resistance at 1.1413, and a rise through could take it to the next resistance level of 1.1434.
In absence of any major economic releases in the Euro-zone today, investors will look forward to the US NFIB small business optimism index for June followed by JOLTS job openings and final wholesale inventories, both for May, slated to release later in the day.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
