EUR/USD Current Price: 1.1876
- European indexes closed in the red, US ones were mixed, as concerns outweighed hopes.
- Market players ignored soft macroeconomic data coming from both shores of the Atlantic.
- EUR/USD keeps trading above the 1.1800 level but edged lower for a second consecutive day.
The EUR/USD pair trades around 1.1850 as the American session comes to an end, recovering from a daily low of 1.1815 and up for the day. The American dollar benefited from a worsening market’s mood that kept European equities in negative territory throughout the day and also hit Wall Street. Investors’ concerns gyrated around coronavirus developments as the pandemic keeps spreading in the US and Europe, with the first toughening measures to curb the spread.
Macroeconomic data passed unnoticed, although the EU published the September Current Account, which posted a seasonally adjusted surplus of €25.2 billion, below the market’s expectations. Meanwhile, the US released Initial Jobless Claims for the week ended November 13. The report showed that 742K people filed for unemployment, worse than anticipated. The country also published the Philadelphia Fed Manufacturing Survey, which came in at 26.3, better than the 22 expected. October Existing Home Sales increased by 4.3%, beating expectations.
This Friday, Germany will publish the October Producer Price Index, while the EU will unveil the preliminary estimate of November Consumer Confidence, seen falling from -15.5 to -17.7. The US won’t release relevant macroeconomic reports.
EUR/USD short-term technical outlook
The EUR/USD pair is neutral in the near-term, as the 4-hour chart shows that it has spent the day developing around a directionless 20 SMA now above it. The same chart shows that the 100 SMA converges with the 200 SMA, both lacking directional strength. The Momentum indicator holds within negative levels without favoring a particular bias, as the RSI advances around 55. The risk will skew to the downside only on a break below 1.1800.
Support levels: 1.1800 1.1760 1.1720
Resistance levels: 1.1885 1.1920 1.1965
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.