EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.55% against the USD and closed at 1.1225 on Friday.
On the data front, Germany’s seasonally adjusted factory orders fell 2.2% on a monthly basis in May, marking its steepest drop since financial crisis and compared to a revised rise of 0.4% in the previous month. Market participants had expected factory orders to register a drop of 0.2%.
The US dollar rose against its major peers on Friday, following stronger than expected US jobs data.
In the US, data showed that the non-farm payrolls increased by 224.0K in June, surpassing market expectations for a rise of 160.0K and following a revised gain of 72.0K in the prior month. Moreover, the nation’s average hourly earnings of all employees climbed 0.2% on a monthly basis in June, compared to a revised rise of 0.3% in the previous month. Market participants had expected average hourly earnings of all employees to record a gain of 0.3%.
On the flipside, the US unemployment rate unexpectedly advanced to 3.7% in June, compared to 3.6% in the prior month.
In the Asian session, at GMT0300, the pair is trading at 1.1228, with the EUR trading a tad higher against the USD from Friday’s close.
The pair is expected to find support at 1.1195, and a fall through could take it to the next support level of 1.1162. The pair is expected to find its first resistance at 1.1273, and a rise through could take it to the next resistance level of 1.1318.
Moving forward, traders would keep an eye on Euro-zone’s Sentix investor confidence index for July along with Germany’s industrial production and trade balance data for May, slated to release in a few hours. Later in the day, the US consumer credit for May, will keep traders on their toes.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
