EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.29% against the USD and closed at 1.1043.
In economic news, data showed that the Euro-zone’s Sentix investor confidence index jumped to an eleven-month high level of 13.1 in November, suggesting that investors are getting increasingly optimistic about the region’s growth prospects. Markets expected the index to rise to a level of 9.0, following a level of 8.5 in the prior month. Meanwhile, the region’s seasonally adjusted retail sales eased less-than-expected by 0.2% on a monthly basis in September, compared to a revised similar fall in the prior month while markets expected it to drop by 0.3%.
Elsewhere, in Germany, the Markit construction PMI expanded to a level of 52.9 in October, notching its strongest reading in six months, after recording a level of 52.4 in the previous month. On the contrary, the nation’s seasonally adjusted factory orders unexpectedly declined by 0.6% on a monthly basis in September, recording its sharpest fall in five-months and casting doubts that factories would act as a driving factor in the fourth quarter. Markets expected factory orders to rise by 0.2%, after recording a revised rise of 0.9% in the prior month.
Macroeconomic data indicated that, the US labour market conditions index rose to a level of 0.7 in October, following a revised decline of -0.1 the previous month.
In the Asian session, at GMT0400, the pair is trading at 1.1038, with the EUR trading a tad lower against the USD from yesterday’s close.
The pair is expected to find support at 1.1014, and a fall through could take it to the next support level of 1.0991. The pair is expected to find its first resistance at 1.1073, and a rise through could take it to the next resistance level of 1.1109.
Moving ahead, market participants would look forward to Germany’s industrial production and trade balance, both for September, slated to release in a few hours. Moreover, in the US NFIB small business optimism index for October and JOLTS job openings for September, due to release later today, would garner market attention.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
