Key Highlights
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Euro continued to gain traction, as the US Dollar tumbled against most major currencies.
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There was a resistance trend line formed on the hourly chart of the EURUSD pair, which was broken during the upside move.
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Today, the Euro Zone Manufacturing Purchasing Managers Index (PMI) will be released by the Markit Economics for April 2016, which is forecasted to remain stable around 51.5.
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In Australia, the AiG performance of the Mfg Index released by the Australian Industry Group posted a decline from the last revised reading of 58.1 to 53.4 in April 2016.
EURUSD Technical Analysis
The Euro jumped sharply during the past few days against the US Dollar and traded above the 1.1450 resistance area. The most important point is that the EURUSD pair settled above a resistance trend line formed on the hourly chart.
If the pair corrects lower from the current levels, then the 23.6% Fib retracement level of the last wave from the 1.1309 low to 1.1479 high may act as a support area.
On the upside, the next resistance above 1.1480 lies near 1.1500.
Euro Zone Manufacturing PMI
Today, there are a few economic releases in the Euro Zone, including the Euro Zone Manufacturing Purchasing Managers Index (PMI) by the Markit Economics. The market is expecting a stable reading near 51.5 in April 2016. If there is any decline, then we can witness a minor correction in the EURUSD pair in the short term.
In the US, the Institute for Supply Management (ISM) Manufacturing Index will be published, which is forecasted to post an expansion in April 2016.
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