EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.63% against the USD and closed at 1.2543.
Yesterday, the US Dollar came under pressure after the minutes of Federal Reserve’s latest monetary policy meeting indicated that the policy makers would stimulate the US economy with monetary easing tools if it does not pick up the pace of its tepid recovery soon.
Meanwhile, the Euro group Chief, Jean-Claude Juncker, stated that he was “totally opposed” to Greece being forced out of the Euro-zone but urged its government to redouble reform efforts to secure continued EU-IMF financial aid.
On the other hand, Greece Prime Minister, Antonis Samaras, stated that the nation needs more time to implement tough financial reforms and spending cuts.
Separately, German Chancellor, Angela Merkel, dismissed the chances of agreeing on changes to Greece’s bailout package during upcoming talks with Antonis Samaras citing we would wait for the report of the Troika to take final decision.
In a bond auction, Germany sold €6.24 billion of 2-year notes, against a €5 billion target at yield of 0%, compared to -0.06% in July.
In the Asian session, at GMT0300, the pair is trading at 1.2541, with the EUR trading flat from yesterday’s close.
The pair is expected to find support at 1.2464, and a fall through could take it to the next support level of 1.2386. The pair is expected to find its first resistance at 1.2586, and a rise through could take it to the next resistance level of 1.2630.
Trading trends in the pair today are expected to be determined by the release of Euro-zone purchasing manager index (PMI), consumer confidence and German gross domestic product data.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
