EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.20% against the USD and closed at 1.1081 on Friday.
On the data front, Germany’s GfK consumer confidence index unexpectedly eased to a 3-year low level of 9.6 in November, defying market expectations for a steady reading. The index had recorded a revised level of 9.8 in the prior month. Further, the Ifo current assessment index dropped to a level of 97.8 in October, more than market consensus for a decline to a level of 98.0. The index had recorded a revised level of 98.6 in the previous month. Meanwhile, the Ifo business expectations index rose to a level of 91.5 in October, surpassing market expectations for a rise to a level of 91.0. The Ifo business expectations had recorded a revised level of 90.9 in the prior month. Moreover, the nation’s Ifo business climate index remained steady at 94.6 in October, defying market anticipations for a fall to a level of 94.5.
In the US, data showed that the final Reuters/Michigan consumer sentiment index advanced to a level of 95.5 in October, compared to a level of 93.2 in the previous month. Preliminary figures had indicated a rise to a level of 96.0.
In the Asian session, at GMT0400, the pair is trading at 1.1082, with the EUR trading a tad higher against the USD from Friday’s close.
The pair is expected to find support at 1.1062, and a fall through could take it to the next support level of 1.1043. The pair is expected to find its first resistance at 1.1112, and a rise through could take it to the next resistance level of 1.1143.
Looking ahead, traders would keep an eye on Euro-zone’s M3 money supply for September, slated to release in a few hours. Later in the day, the US Chicago Fed National Activity Index and goods trade balance, both for September along with the Dallas Fed manufacturing business index for October, will garner significant amount of investors’ attention
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
