EURUSD Movement
For the 24 hours to 23:00 GMT, EUR declined 0.76% against the USD and closed at 1.3226.
The USD received a boost after the minutes of US Federal Open Market Committee meeting indicated no further monetary stimulus was likely.
Moreover, EUR came under pressure after unemployment in Spain rose by 38,769 in March or 0.8% (MoM) to 4.75 million. On an annual basis, unemployment was 9.6% higher in March. Additionally, the Euro-zone’s Gross Domestic Product shrank 0.3% in the fourth quarter of 2011, in line with market expectations and unchanged from a preliminary estimate. Also, the Producer Price Index in the Euro-zone rose at an annualized rate of 3.6% (YoY) in February, compared to a revised rate of 3.8% in January.
In the Asian session, at GMT0300, the pair is trading at 1.3202, with the EUR trading 0.18% lower from yesterday’s close.
The pair is expected to find support at 1.3135, and a fall through could take it to the next support level of 1.3068. The pair is expected to find its first resistance at 1.3318, and a rise through could take it to the next resistance level of 1.3434.
Trading trends in the pair today are expected to be determined by services Purchasing Managers’ Index, retail sales and European Central Bank (ECB) rate decision in the Euro-zone.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
