Euro Reverses Its Losses In The Morning Session
GCI Financial | Oct 19, 2015 03:32AM ET
For the 24 hours to 23:00 GMT, the EUR declined 0.19% against the USD and closed at 1.1356.
Macroeconomic data released showed that Euro-zone’s consumer price inflation rose 0.2% MoM in September, as expected, compared to a flat reading in the previous month. However, the seasonally adjusted trade surplus in the Eurozone narrowed to €19.8 billion in August, from €22.4 billion in July.
The greenback gained ground after the preliminary Reuters/Michigan consumer sentiment index rebounded strongly to register a reading of 92.1 in October, its first advance in four months, from a level of 87.2 in September. Investors had expected a reading of 89.0. On the other hand, the US industrial production contracted 0.2% MoM in September, falling for the second straight month, after a 0.1% decline in August. The fall was attributed to lower domestic and overseas demand.
In the Asian session, at GMT0300, the pair is trading at 1.1358, with the EUR trading marginally higher from Friday’s close.
The pair is expected to find support at 1.1329, and a fall through could take it to the next support level of 1.1301. The pair is expected to find its first resistance at 1.1391, and a rise through could take it to the next resistance level of 1.1424.
Going ahead, market participants will look forward to Euro-zone’s construction output data for August, scheduled to be released in a few hours. In addition to this, the US NAHB housing market index data for October, scheduled to be released later in the day, will also garner investor attention.
The currency pair is showing convergence with its 20 Hr moving average and is trading below its 50 Hr moving average.
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.