EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR rose 0.26% against the USD and closed at 1.1374
In the economic news, Euro-zone’s seasonally adjusted trade surplus narrowed to €16.7 billion in June, contracting for the third consecutive month and after registering a surplus of €16.9 billion in the prior month. Market participants had expected the surplus record an unchanged reading.
In the US, data indicated that building permits advanced 1.5% on monthly basis to an annual rate of 1311.0K in July, more than market consensus to rise to a level of 1310.0K. In the prior month, building permits had registered a revised reading of 1292.0K. Moreover, the nation’s housing starts rebounded 0.9% on monthly basis to an annual rate of 1168.0K in July, undershooting market expectations for a rise to a level of 1260.0K. In the preceding month, housing starts had recorded a revised level of 1158.0K. Additionally, the seasonally adjusted initial jobless claims unexpectedly fell for the second straight week to a level of 212.0K in the week ended 11 August 2018, defying market expectations for an advance to a level of 215.0K. Initial jobless claims had registered a revised reading of 214.0K in the previous week.
On the contrary, the US Philadelphia Fed manufacturing index eased to a level of 11.9 in August, compared to a reading of 25.7 in the prior month. Market participants had anticipated the index to drop to a level of 22.0.
In the Asian session, at GMT0300, the pair is trading at 1.1383, with the EUR trading 0.08% higher against the USD from yesterday’s close.
The pair is expected to find support at 1.1351, and a fall through could take it to the next support level of 1.1319. The pair is expected to find its first resistance at 1.1412, and a rise through could take it to the next resistance level of 1.1441.
Moving ahead, traders will closely monitor the Euro-zone’s consumer price index for July, set to release in a few hours. Later in the day, the US leading index for July and the Michigan consumer sentiment index for August, will garner significant amount of investor attention.
The currency pair is showing convergence with its 20 Hr moving average and trading above its 50 Hr moving average.
