EURUSD Movement
For the 24 hours to 23:00 GMT, the EUR declined 0.25% against the USD and closed at 1.1137.
On the macro front, Germany’s seasonally adjusted unemployment rate unexpectedly climbed to 5.0% in May, rising for the first time since 2013 and defying market expectations for a steady reading. Unemployment rate had registered a rate of 4.9% in the previous month. Separately, in France, the final gross domestic product (GDP) rose 0.3% on a quarterly basis in the first quarter of 2019, in line with market expectations and confirming the preliminary print. In the previous quarter, GDP had registered a similar rise.
In the US, data indicated that the Richmond Fed manufacturing index advanced less than expected to a level of 5.0 in May, compared to a level of 3.0 in the prior month. Market participants had expected the index to rise to a level of 6.0. Meanwhile, the US MBA mortgage applications fell to its lowest level in 1 month by 3.3% on a weekly basis in the week ended 24 May 2019, following a gain of 2.4% in the previous week.
In the Asian session, at GMT0300, the pair is trading at 1.1138, with the EUR trading slightly higher against the USD from yesterday’s close.
The pair is expected to find support at 1.1119, and a fall through could take it to the next support level of 1.1100. The pair is expected to find its first resistance at 1.1163, and a rise through could take it to the next resistance level of 1.1188.
Amid lack of macroeconomic releases in the Euro-zone today, investors would focus on the US annualised GDP for the first quarter 2019 along with initial jobless claims. Later in the day, the US pending home sales and advance goods trade balance, both for April, will keep investors on their toes.
The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.
