EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.11% against the USD and closed at 1.4198. European Central Bank President, Jean-Claude Trichet stated yesterday that the 17 nations that use the euro must implement crucial governance reforms that would bring the currency area closer to the federal system employed by the United States.
Meanwhile, protests in Greece over the harsh terms of the rescue package turned violent. Losing political support for austerity measures, Prime Minister George Papandreou has stated that he would reshuffle his Cabinet.
In the Euro zone, the consumer price inflation, on monthly basis, remained unchanged in May following a 0.6% growth in April. Additionally, the employment change showed no improvement in the first quarter of 2011 following a 0.2% growth in the fourth quarter of 2010. Meanwhile, on an annual basis, the employment in the Euro-zone rose 0.1% in 1Q FY2011.
In the Asian session, at 3:00GMT, the EURUSD is trading at 1.4177, 0.15% lower from the levels yesterday at 23:00GMT.
The pair has its first short term resistance at 1.4241, followed by the next resistance at 1.4306. The first support is at 1.4093, with the subsequent support at 1.4010.
Trading trends in the pair today are expected to be determined by data release on trade balance in the Euro zone.
The currency pair is showing convergence with its 20 Hr moving average and is trading just below its 50 Hr moving average.
