EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.66% against the USD and closed at 1.1664.
In the economic news, Euro-zone’s producer price index advanced to 3.6% on yearly basis in June, more than market consensus for a rise to 3.5%. In the preceding month, the index had recorded a gain of 3.0%.
The US dollar gained ground against a basket of currencies, amid mounting trade tensions between the US and China.
In the US, data showed that US factory orders climbed 0.7% on a monthly basis in June, rising for the second consecutive month and in line with market expectations. In the previous month, factory orders had increased 0.4%. Moreover, the nation’s final durable goods orders rose 0.8% on a monthly basis in June, after a drop of 0.4% in the previous month. The preliminary figures had recorded an advance of 1.0%. Meanwhile, the US seasonally adjusted initial jobless claims jumped to a level of 218.0K in the week ended 28 July 2018, less than market consensus for a rise to 220.0K. In the prior week, initial jobless claims had registered a level of 217.0K.
In the Asian session, at GMT0300, the pair is trading at 1.1589, with the EUR trading marginally higher against the USD from yesterday’s close.
The pair is expected to find support at 1.1559, and a fall through could take it to the next support level of 1.1528. The pair is expected to find its first resistance at 1.1642, and a rise through could take it to the next resistance level of 1.1694.
Going forward, investors will closely monitor the Markit services PMI for July, set to release across the euro bloc in a while. Later in the day, the US trade balance data for June, followed by non-farm payrolls data, unemployment rate, average hourly earnings and the services PMI, all for July, will be on investors radar.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
