EUR/USD flirts with 100-day MA support ahead of China data


  • EUR/USD is probing the crucial 100-day moving average support at 1.1270.
  • The pair closed below 1.1283 on Thursday, confirming a bearish candlestick pattern.
  • EUR/USD will likely find acceptance below the 100-day MA in Europe if China reports a weaker-than-expected macro data.

EUR/USD is sitting on the 100-day moving average (MA) support of 1.1270 with investors awaiting the release of China’s industrial production and retail sales data for May.

The currency pair closed below 1.1283 on Thursday, validating the bearish outside day candle created on Wednesday.

Put simply, the bounce from recent lows near 1.11 seems to have made a temporary top at 1.1348 and the stage is set for a deeper pullback in case China’s macro data, due for release at 07:00 GMT, revives fears of a sharp slowdown in the world’s second largest economy.

China’s industrial production is forecasted to increase by 5.5% year-on-year in May following a 5.4% rise in April. meanwhile, consumer spending, as represented by retail sales, is expected to have increased at an annualised rate of 8.1% in May, following April’s 7.2% growth.  

A big beat on industrial production is required to put a strong bid under the risk assets and weaken haven demand for the US Dollar.

However, if the data is weak, then the pair could find acceptance below the 100-day MA support at 1.1270 ahead of the US retail sales data, scheduled for release at 12:30 GMT.

German Wholesale Price Index (YoY) (May) due at 06:00 GMT is unlikely to have a big impact on the EUR pairs, unless the actual number prints way above or below estimates, in which case it would draw market attention.

Technical levels

EUR/USD

Overview
Today last price 1.1272
Today Daily Change -0.0004
Today Daily Change % -0.04
Today daily open 1.1276
 
Trends
Daily SMA20 1.1217
Daily SMA50 1.122
Daily SMA100 1.1273
Daily SMA200 1.1363
Levels
Previous Daily High 1.1304
Previous Daily Low 1.1268
Previous Weekly High 1.1348
Previous Weekly Low 1.116
Previous Monthly High 1.1266
Previous Monthly Low 1.1107
Daily Fibonacci 38.2% 1.1282
Daily Fibonacci 61.8% 1.1291
Daily Pivot Point S1 1.1261
Daily Pivot Point S2 1.1247
Daily Pivot Point S3 1.1225
Daily Pivot Point R1 1.1297
Daily Pivot Point R2 1.1319
Daily Pivot Point R3 1.1333

 



 

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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD bouncing modestly on disappointing US Consumer Confidence

The shared currency remains pressured by the idea that the ECB will come out with massive stimulus measures in September. US Michigan Consumer Confidence down to 92.1 brakes dollar's gains.

EUR/USD News

GBP/USD retreats sharply after approaching 1.2200

The GBP/USD pair came under selling pressure after flirting with weekly highs, as a dismal US confidence report brought back risk-off. GBP/USD still up for the week and above the critical 1.2100 level.

GBP/USD News

USD/JPY: Greenback makes modest progress against Yen, near 106.30

The demand for Yen as a safe-haven currency has been weak in the last three days. The levels to beat for bulls are at the 106.30 and 106.55 resistances.

USD/JPY News

Gold gives back territory towards a 23.6% retracement

Gold prices were a touch lower by the end of the week, falling -0.68% having travelled between a high of $1,528.00 to a low of $1,503.87, ending the NY session around $1,513. 

Gold News

Four Signs of A Bear Market

I am a believer that the Universe gives you signs. That may sound a bit crazy, but these three charts are three more signs of a bear market. The top chart is the GLD exchange traded fund.

Read more

MAJORS

Cryptocurrencies

Signatures


  •  
  •  
  •  
  •  
  •